Showing posts with label Analysis of GBP / USD Divergences for March 22. Pound sterling did not go far down. Show all posts
Showing posts with label Analysis of GBP / USD Divergences for March 22. Pound sterling did not go far down. Show all posts

Analysis of GBP / USD Divergences for March 22. Pound sterling did not go far down

4h

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On a 4-hour chart, the GBP / USD pair performed a reversal in favor of the British currency and then close above the correction level of 76.4% - 1.3094 after some falling of quotations. Thus, today, the growth of quotations can be continued in the direction of the Fibo level of 100.0% - 1.3300. On the other hand, none of the indicators have maturing divergences on the current chart. Closing the pair under the correction level of 76.4% will work in favor of the US dollar and resuming the fall in the direction of the Fibo level 61.8% - 1.2969.

The Fib net is built on extremes from September 20, 2018 and January 3, 2019.

1h

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On the hourly chart, the pair consolidated above the correctional level of 61.8% - 1.3121, which allows traders to count on continued growth in the direction of the correction level of 50.0% - 1.3171. Maturing divergences are not observed on the current chart. The closing of the quotations of the pair below the Fibo level of 61.8% will work in favor of the American currency and some fall in the direction of the correction level of 76.4% - 1.3061.

The Fib net is built on extremes from March 11, 2019 and March 13, 2019.

Recommendations to traders:

Purchases of the GBP / USD pair can be made now with a target at 1.3171 and a Stop Loss order below the level of 61.8%, as the pair completed the closure above the level of 1.3121 (hourly chart).

Sales of the GBP / USD pair can be made with a target of 1.3061 and a Stop Loss order above the 61.8% level, if the pair closes below the correctional level of 1.3121 (hourly chart).

The material has been provided by InstaForex Company - www.instaforex.com