For the GBP / USD pair, the monthly trend is upward. After a breakout on the resistance line (white thick line), it is possible to continue moving downward. The first lower target is 1.3952 with 38.2% is the rollback level.
Trend analysis (Figure 1).
The past week had a downward trend. The price reached the support line of 1.3711 and then, it went up. Next week, there will most likely be an upward trend and the first target is at the level of 1.3786 with 38.2% recoil level (yellow dotted line). How much probability of this scenario is likely to be shown by a comprehensive analysis.
Fig. 1 (weekly chart).
Indicator analysis on the weekly schedule (Figure 2).
The system of ADX indicators (Figure 2).
On the last run, the fast line (indicator 5 - white) and the slow line (indicator period 8 - blue) moved down. In this case, the trend should be determined from the indicators of the oscillator type.
Stochastic indicator (period 3/3/4) on the weekly chart gives a downward trend (Fig. 2).
The system of RSI indicators (Figure 2).
When working with the daily chart, the following periods are used in the RSI indicator system: 21 (brown), 8 (blue), 13 (yellow), 5 (red).
On the last closed candle.
The property calculation of the RSI indicator (5) gives a downward trend.
The property calculation of the RSI indicator (8) gives a downward trend.
The bottom line: the RSI indicator system gives a downward trend.
The calculation of the CCI indicator gives a downward trend.
The bottom line: the CCI indicator system gives a downward trend.
The grand total: the price on the weekly chart should have a downward trend, according to the indicator analysis.
Calculation of the first shadow of the week (Monday) on a weekly chart.
The middle lines of the EMA 1/5/8 are the lower signal.
The indicator "three lines" (direction of the lines of indicators CCI (5), and RSI (5); stochastics with a period of 3/3/4) on the last run is the bottom signal.
Calculation of the system RSI indicators for the first tail - down.
The bottom line: the calculation of a weekly candle for indicator analysis showed that on Monday the price may have an upward trend, which should be confirmed by the daily chart.
Calculation of the second shadow of the week (Friday).
The calculation for the MACD linear part - gave a downward trend (100 points down).
Calculation of the MACD histogram - gave a downward trend (100 points down).
The result: On the technical analysis for the calculation of the last day of the week, it showed that the price may have a downward trend on Friday, which should be confirmed by the daily chart.
Fig. 2 (weekly chart).
Complex analysis:
- indicator analysis - down;
- Fibonacci levels - up;
- volumes - upwards;
- candle analysis - down;
- trend analysis - up;
- Bollinger lines - up;
- monthly chart - down.
Conclusion on the complex analysis is an upward movement.
The total result of the GBP / USD currency pair candlestick calculation according to the weekly chart: the price for the week is likely to have an upward trend with the absence of the first lower shadow of the weekly white candle and the presence of the second upper shadow.
The first target target is 1.3860 with 23.6% recoil level (yellow dotted line).
