The British pound reached its target — the upper boundary of the global descending price channel — and even pierced it with its upper shadow (weekly chart). Now the price may well retreat from such strong resistance.
If the outcome of today's Bank of England meeting aligns with this expected pullback, a medium-term decline could develop. Here, the key level to watch is the MACD line around 1.3395.
On the daily chart, the price reversed downward at the 8th Fibonacci time line. The Marlin oscillator is pointing down from the upper boundary of its range, suggesting the price may attempt to work out the nearest support at 1.3525, which the MACD line has already touched from above.
On the four-hour chart, the price consolidated below 1.3631 but remains above the indicator lines. The Marlin oscillator is holding within the range, but already in negative territory, showing readiness to exit downward. The nearest target is 1.3555 along the MACD line, followed by price support at 1.3525. The pair may consolidate within the 1.3525/55 range. Since no changes in monetary policy are expected at today's Bank of England meeting, the national currency is unlikely to receive support.
The material has been provided by InstaForex Company - www.instaforex.com
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GBP/USD
The British pound reached its target — the upper boundary of the global descending price channel — and even pierced it with its upper shadow (weekly chart). Now the price may well retreat from such strong resistance.
If the outcome of today's Bank of England meeting aligns with this expected pullback, a medium-term decline could develop. Here, the key level to watch is the MACD line around 1.3395.
On the daily chart, the price reversed downward at the 8th Fibonacci time line. The Marlin oscillator is pointing down from the upper boundary of its range, suggesting the price may attempt to work out the nearest support at 1.3525, which the MACD line has already touched from above.
On the four-hour chart, the price consolidated below 1.3631 but remains above the indicator lines. The Marlin oscillator is holding within the range, but already in negative territory, showing readiness to exit downward. The nearest target is 1.3555 along the MACD line, followed by price support at 1.3525. The pair may consolidate within the 1.3525/55 range. Since no changes in monetary policy are expected at today's Bank of England meeting, the national currency is unlikely to receive support.
The material has been provided by InstaForex Company - www.instaforex.com