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Analysis of the GBP / USD Divergences for October 23. The pound has nothing to oppose the dollar

4h

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On the 4-hour chart, the GBP / USD currency pair quotes from the correction level of 23.6% - 1.3067 with a reversal in favor of the American dollar. As a result, the fall in quotations resumed in the direction of the correction level of 0.0% - 1.2662. The ripening divergences today are not observed in any indicator. For a more detailed picture, go to the younger graph.

The Fibo grid was built according to extremums of April 17, 2018, and August 15, 2018.

1h

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On the hourly chart, the pair completed under the correction level of 76.4% - 1,3003. Thus, the fall in quotations of the pair continues in the direction of the next Fibo level of 100.0% - 1.2924. The rebound of the course on October 23 from the Fibo level of 100.0% will allow traders to expect a reversal in favor of the US currency and some growth towards 76.4%. There are no emerging divergences today. Fixing the pair below the Fibo level of 100.0% will work in favor of continuing to fall in the direction of the correctional level of 127.2% - 1.2833.

The Fibo grid was built on extremes from October 4, 2018, and October 12, 2018.

Recommendations to traders:

You can make purchases of the GBP / USD currency pair with the target of 1.3003 and a Stop Loss order under the correction level of 100.0% if the pair bounces off the 1.2924 level (hourly chart).

The currency pair GBP / USD can be sold now with targets at 1.2924 and 1.2833 and a Stop Loss order above the level of 76.4%, as the pair completed closing under the Fibo level of 1.3003 (hourly chart).

The material has been provided by InstaForex Company - www.instaforex.com