4h
On the 4-hour chart, after the formation of the bullish divergence, the quotes of the GBP / USD currency pair fixed above the Fibo level of 76.4% - 1.2813. Thus, the growth process continues on November 1 in the direction of the next correction level of 61.8% - 1.2905. New emerging divergences today are not observed. Reversing the quotations from the Fibo level of 61.8% will allow traders to expect a reversal in favor of the American currency and a slight decline in the direction of the correctional level of 76.4%.
The Fibo grid was built according to extremums of August 15, 2018, and September 20, 2018.
1h
On the hourly chart, the pair also started the growth process and completed the consolidation above the correctional level of 127.2% - 1.2833. Thus, the growth can be continued in the direction of the next correction level of 100.0% - 1.2924. None of the indicators have maturing divergences on the current chart. Fixing the pair below the Fibo level of 127.2% can be interpreted as a reversal in favor of the US dollar and expect a resumption of the fall in the direction of the correction level of 161.8% - 1.2718.
The Fibo grid was built on extremes from October 4, 2018, and October 12, 2018.
Recommendations to traders:
Purchases of the GBP / USD currency pair can be carried out now with a target of 1.2924 and a Stop Loss order under the correction level of 127.2%, as the pair completed closing above the 1.2833 level (hourly chart).
To sell the GBP / USD currency pair, it will be possible with the target at 1.2718 and a Stop Loss order above the level of 127.2% if the pair closes below the correction level of 1.2833 (hourly chart).
The material has been provided by InstaForex Company - www.instaforex.com