12.03.201914:11 Forex Analysis & Reviews: March 12, 2019: GBP/USD is losing ground

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

On January 2nd, the market initiated the depicted uptrend line around 1.2380.

This uptrend line managed to push the price towards 1.3200 before the GBP/USD pair came to meet the uptrend again around 1.2775 on February 14.

Another bullish wave was demonstrated towards 1.3350 before the current bearish pullback was demonstrated towards the uptrend again.

A weekly gap pushed the pair slightly below the trend line (almost reaching 1.2960). However, significant bullish recovery was demonstrated yesterday rendering the mentioned bearish gap as a false bearish breakout.

Bullish persistence above 1.3060 (Fibonacci 50%) is mandatory to pursue the bullish momentum towards 1.3130 and then 1.3190-1.3200, where the next Fibonacci levels are located.

On the other hand, bearish breakout below 1.2990 (Fibonacci 50%) invalidates this bullish setup rendering the short-term bearish outlook towards 1.2890 and then 1.2770.

Trade Recommendations:

The GBP/USD pair remains bullish as long as the price is holding above 1.2990 (61.8% Fibonacci level).

Target levels are projected towards 1.3130, 1.3200 and 1.3250. H1 candlestick closure below 1.2990 invalidates this bullish setup as mentioned above.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.