4h
The currency pair GBP / USD on the 4-hour chart completed growth to the correction level of 76.4% - 1.2812. The quotes rebound from the Fibo level of 76.4% and the bearish divergence at the CCI indicator made it possible to turn in favor of the US dollar and begin to fall in the direction of the corrective level of 100.0% - 1.2662. Rebounding quotes from the Fibo level of 100.0% will make it possible to expect a reversal in favor of the British currency and a return to the correction level of 76.4%. Fixing quotes above the Fibo level of 76.4% will similarly work in favor of resuming growth.
The Fibo grid is built on extremes from August 15, 2018, and September 20, 2018.
1h
On the hourly chart, the pair quotes returned to the correction level of 38.2% -1.2743. Repeating quotes on January 2 from this level allows you to count on a reversal in favor of the pound sterling and the resumption of growth in the direction of the correction level of 50.0% - 1.2826. There are no maturing divergences on the current chart today. A close below the Fibo level of 38.2% will increase the chances of continuing falling towards the next correction level of 23.6% - 1.2641.
The Fibo grid is built on extremums from November 7, 2018, and December 12, 2018.
Recommendations to traders:
Purchases of the GBP / USD currency pair can be made with the target of 1.2826 and a Stop Loss order under the level of 38.2% since the pair has completed the rebound from the Fibo level of 1.2743 (hourly chart).
Sales of the GBP / USD currency pair can be made with the target of 1.2641 and a Stop Loss order above the level of 38.2% if the pair closes below the level of 1.2743 (hourly chart).
The material has been provided by InstaForex Company - www.instaforex.com