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Forecast for GBP/USD on May 22, 2019

GBP/USD

Yesterday, the British pound was very widely traded, with a range of 130 points, due to Theresa May's proposal to the Parliament to adopt the option with the second Brexit referendum in exchange for her version of the deal with the EU. But in the end, the pound closed the session with a black candle, since this option was considered earlier, and May is facing a faster resignation. The issue will be resolved in the first week of June, when the Parliament will make this very decision on a new version of May's deal.

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Formally, on the daily chart, the price could not overcome the resistance of the embedded line of the price channel, while the balance line was an insurmountable resistance on the four-hour chart. Also on H4, at the moment, the signal line of the marlin oscillator has already turned twice from the border with the growth area. It seems that the price is afraid to touch the target level of 1.2660, which may be followed by a fall to 1.2530 (a low of December 14 of last year). We are waiting for the development of events in exactly this scenario.

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