Trend analysis (Fig. 1).
The pound-dollar pair may move upward from 1.1863 (close of Friday's daily candle) to the historical resistance level of 1.1920 (blue dotted line). After testing this level, the price may continue to move upward with the target of 1.1978, the 38.2% retracement level (red dotted line). Upon reaching this level, a downward movement is possible with the target of 1.1954, the 13-day EMA (thin yellow line). From this level, the price may move up.
Fig. 1 (daily chart).
Comprehensive analysis:
- Indicator analysis – up;
- Fibonacci levels – up;
- Volumes – up;
- Candlestick analysis – up;
- Trend analysis – up;
- Bollinger bands – up;
- Weekly chart – up.
General conclusion:
Today the price may move upward from the level of 1.1863 (close of Friday's daily candle) to the historical resistance level of 1.1920 (blue dotted line). After testing this level, the price may continue to move upward with the target of 1.1978, the 38.2% retracement level (red dotted line). Upon reaching this level, a downward movement is possible with the target of 1.1954, the 13-day EMA (thin yellow line). From this level, the price may move up.
Alternative scenario: from the level of 1863 (close of Friday's daily candle), the price may move downward with the target of 1.1759, the lower fractal (daily candle from 07/14/2022). Upon reaching this level, an upward movement is possible with the target of 1.1842, the 14.6% retracement level (red dotted line).
