Trend analysis (Fig. 1).
The pound-dollar pair may move downward from the level of 1.2187 (closing of yesterday's daily candle) to 1.2126, the 8-period EMA (thin blue line). When testing this level, an upward movement is possible to the upper fractal at 1.2243 (yellow dotted line). From this level, the price may continue to move up.
Fig. 1 (daily chart).
Comprehensive analysis:
- Indicator analysis - down;
- Volumes - down;
- Candlestick analysis - down;
- Trend analysis - up;
- Bollinger bands - up;
- Weekly chart - up.
General conclusion:
Today, the price may move downward from the level of 1.2187 (closing of yesterday's daily candle) to 1.2126, the 8-period EMA (thin blue line). When testing this level, an upward movement is possible to the upper fractal at 1.2243 (yellow dotted line). From this level, the price may continue to move up.
Alternatively, the price may move downward from the level of 1.2187 (closing of yesterday's daily candle) to 1.2060, the 23.6% retracement level (yellow dotted line). When testing this level, an upward movement is possible to 1.2213, the historical resistance level (blue dotted line). From this level, the price may continue to move up.
