Trend Analysis.In November, from the 1.3151 level (closing of the October monthly candle), the price may continue moving downward toward 1.2900 – a historical resistance level (light blue dashed line). Upon testing this level, the price may rebound upward toward 1.2941 – the 50% retracement level (red dashed line).
Fig. 1 (Monthly Chart).
Indicator Analysis:
Indicator analysis – downward;
Fibonacci levels – downward;
Volumes – downward;
Candlestick analysis – downward;
Trend analysis – downward;
Bollinger Bands – downward.
Conclusion from comprehensive analysis: A downward trend is possible.
Overall summary of the monthly GBP/USD candle calculation:The price will most likely show a downward trend, with no upper shadow on the monthly black (bearish) candle (the first week of the month – bearish), and with the second lower shadow forming later (the last week of the month – bullish).
Alternative scenario:From the 1.3151 level (closing of the October monthly candle), the price may continue moving downward toward 1.2743 – the 61.8% retracement level (red dashed line). Upon testing this level, the price may rebound upward toward 1.2900 – the historical resistance level (light blue dashed line).
The material has been provided by InstaForex Company - www.instaforex.com
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Fig. 1 (Monthly Chart).
Indicator Analysis:
Conclusion from comprehensive analysis: A downward trend is possible.
Overall summary of the monthly GBP/USD candle calculation:The price will most likely show a downward trend, with no upper shadow on the monthly black (bearish) candle (the first week of the month – bearish), and with the second lower shadow forming later (the last week of the month – bullish).
Alternative scenario:From the 1.3151 level (closing of the October monthly candle), the price may continue moving downward toward 1.2743 – the 61.8% retracement level (red dashed line). Upon testing this level, the price may rebound upward toward 1.2900 – the historical resistance level (light blue dashed line).
The material has been provided by InstaForex Company - www.instaforex.com