4h
As seen on the 4-hour chart, the GBP/USD pair performed a rebound from the retracement level of 76.4% (1.3098) and a turn in favor of the US dollar. As a result, on May 3, the process of falling can be continued in the direction of the next retracement level of 61.8% (1.2969). There is no single indicator of emerging divergences today. The rebound of the pair from the Fibo level of 61.8% will allow traders to expect a reversal in favor of the British pound and some growth in the direction of the retracement level of 76.4%. Closing the quotes below the level of 61.8% will increase the chances for a further decline.
The Fibo grid is built according to the extremes of September 20, 2018, and January 3, 2019.
1h
As seen on the hourly chart, the GBP/USD pair rebounded from the retracement level of 61.8% (1.3069) and falling to the Fibo level of 50.0% (1.3031). Closing the quotes of the pair above the level of 50.0% makes it possible to count on some growth in the direction of the retracement level of 61.8%. The new closure of the pair below the Fibo level of 50.0% can be interpreted as a reversal in favor of the US currency and count on the resumption of the fall in the direction of the retracement level of 38.2% (1.2992).
The Fibo grid is built according to the extremes of April 3, 2019, and April 25, 2019.
Forecast for GBP/USD and trading recommendations:
Buy deals on GBP/USD pair can be opened with the target at 1.3069 and a stop loss order under the retracement level of 50.0% as the pair completed closing above the level of 1.3031 (hourly chart).
Sell deals on GBP/USD pair can be opened with the target at 1.2992 and a stop loss order above the level of 50.0% if the pair closes below the level of 1.3031 (hourly chart).
The material has been provided by InstaForex Company - www.instaforex.com