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Forecast for GBP/USD on May 20, 2019

GBP/USD

On Friday, the pound sterling fell by 80 points, moving away from the support of the embedded line of the price channel, which has now become a resistance. The signal line of the marlin oscillator on the daily and four-hour charts slightly bent up, but the opening of Monday occurred with an increasing gap, which indicates the imminent overlap of this gap with the price and its further decline. In this case, the marlin oscillator will work out the effect of discharge (voltage relief) before further downward movement.

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The first target of the decline is last year's low on August 15 at 1.2660. Visually, the marlin oscillator on H4 will not have time to form a reversal formation by this time, so the pound's corrective growth is more likely to be expected from the second target level – the December 14 low at a price of 1.2530.

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