GBP/USD - 4H.
As seen on the 4-hour chart, the GBP/USD pair performed an increase to the upper line of the trend range, which has a minimum downward slope. Thus, today, traders will count on fixing the quotes of the pair on this line, followed by continued growth in the direction of the levels of 1.3011 and 76.4% (1.3044), from each of which the possible rebound or bounce off the trend line of the corridor with a turn in favor of the US dollar and start falling towards the correctional level of 61.8% (1.2836).
Parliamentary elections in the UK are approaching, and the conservatives and Labor continue to use all available means to increase the attractiveness of their party among the population of the country. Yesterday, December 2, Donald Trump arrived in the UK on a working visit. He will attend the NATO Summit. However, despite the friendship between Boris Johnson and Donald Trump, the number of meetings between the two leaders can be kept to a minimum. It is reported that Boris Johnson wants to protect the influence of Donald Trump on the election campaign. The Prime Minister said earlier: "There are things that we traditionally do, like loving allies and friends, and there are things that we don't do - that's participation in each other's campaigns." Despite the friendship between Johnson and Trump, as well as the leading position of the conservatives in the election race, residents of the UK do not favor the American president, as evidenced by regular anti-Trump marches and sociological research data. Also, many Britons believe that Trump's open support for Boris Johnson is an attempt to interfere in the internal affairs of the country. Many political analysts say that after Boris Johnson's blow to the Labor Party on the London Bridge's terrorist attack, Labor can strike back at Johnson's party, saying the Prime Minister is lobbying for American interests in the UK and has generally "sold out" to America.
There is also some danger for the Conservative Party because of Donald Trump's regular proposals to strike a "comprehensive trade deal" with London. However, the US president is under impeachment proceedings, with a low probability of winning the 2020 election, regularly fueling new trade conflicts and is extremely unyielding in negotiations on trade agreements. Thus, both the people of the UK and Boris Johnson himself are well aware that Trump's friendly proposals in practice can result in complex negotiations that can last for many years, as well as duties since this is Trump's favorite tool in putting pressure on countries he does not like. That's why Boris Johnson should distance himself a bit from Trump, at least until the end of the United Kingdom election campaign.
Forecast for GBP/USD and trading recommendations:
The pound-dollar pair resumed the growth process, which is very difficult for traders to win back. The rebound of quotes from the trend corridor line, the levels of 1.3011 or 1.3044 can be the beginning of a new fall in the pair's rate, which is quite appropriate to win back. But I still do not recommend buying a pound, there are too many obstacles for the pair from above.
The Fibo grid is based on the extremes of March 13, 2019, and September 3, 2019.
