Trend analysis
GBP/USD may initiate a downward movement this week from the level of 1.2855 (closing price of the last weekly candle) to the 23.6% retracement level of 1.2803 (yellow dashed line). Following this, the pair will turn around and climb to the 85.4% retracement level of 1.2979 (red dashed line).
Fig. 1 (weekly chart)
Comprehensive analysis:
Indicator analysis - downward
Fibonacci levels - downward
Volumes - downward
Candlestick analysis - downward
Trend analysis - upward
Bollinger bands - upward
Monthly chart - upward
Conclusion: The indicators point to a downward movement in GBP/USD.
Overall conclusion: The pair will have a bearish trend, with no first upper shadow on the weekly black candle (Monday - downward) and a second lower shadow (Friday - upward).
So, during the week, pound will fall from 1.2855 (closing price of the last weekly candle) to the 23.6% retracement level of 1.2803 (yellow dashed line), and then rise to the 85.4% retracement level of 1.2979 (red dashed line).
Alternatively, it could move upward from 1.2855 (closing price of the last weekly candle) to the 85.4% retracement level of 1.2979 (red dashed line), followed by further price growth.
