4h
The GBP / USD pair on a 4-hour chart fixed above the correction level of 50.0% - 1.2869 after the formation of a bullish divergence in the CCI indicator. As a result, on February 18, the growth process can be continued in the direction of the Fibo level of 61.8% - 1.2969. Also today, a bearish divergence is brewing at the CCI indicator. Its formation will allow us to count on a reversal in favor of the US currency and the resumption of a fall in the direction of the correctional level of 38.2% - 1.2765.
The Fibo grid is built on extremes from September 20, 2018, and January 3, 2019.
1h
On the hourly chart, the pair rebounded from the correctional level of 76.4% - 1.2799, started to grow and completed the closing above the Fibo level of 61.8% - 1.2878. Thus, the growth of quotations can be continued in the direction of the correction level of 50.0% - 1.2943. On the current chart, a bearish divergence is brewing at the MACD indicator, which allows you to count on a turn in favor of the American currency and a slight drop in the direction of the correctional level of 76.4%.
The Fibo grid was built on extremes from January 15, 2019, and January 25, 2019.
Recommendations to traders:
Purchases of the GBP / USD pair can be carried out now with a target of 1.2943 and a Stop Loss order below the level of 61.8%, as the pair completed the close above 1.2878 (hourly chart) and keep them open until a bearish divergence is formed on any chart.
Sales of the GBP / USD pair can be carried out with a target of 1.2799 and a Stop Loss order above the level of 50.0% (or a divergence peak) if the pair bounce off at 1.2943 (hourly chart) or a bearish divergence is formed on any chart.
