Trend analysis.
This week, from the level of 1.3506 (close of the last weekly candle), the price may continue downward toward 1.3389 – the 23.6% retracement level (red dotted line). Upon testing this level, the price may extend its downward move toward 1.3270 – the historical support level (blue dotted line).
Fig. 1 (weekly chart).
Comprehensive analysis:
- Indicator analysis – down;
- Fibonacci levels – down;
- Volumes – down;
- Candlestick analysis – down;
- Trend analysis – down;
- Bollinger Bands – down;
- Monthly chart – down.
Conclusion from comprehensive analysis: Downward movement.
Overall summary of the GBP/USD weekly candle calculation: The price will most likely have a downward tendency during the week, with no upper shadow on the weekly black candle (Monday – down) and no lower shadow (Friday – down).
Alternative scenario: From the level of 1.3506 (close of the last weekly candle), the price may start moving downward with a target of 1.3389 – the 23.6% retracement level (red dotted line). Upon reaching this level, the price may move upward toward 1.3458 – the 13-day EMA (yellow thin line).
