23.12.201911:48 Forex Analysis & Reviews: Technical analysis of GBP/USD for December 23, 2019

Overview:

Piar: GBP/USD.

Due to the upcoming Christmas and New Year's holidays, the trading working hours of many major financial centers will have changed, which affected the trading of the GBP/USD pair notably, because the market was not stable and the trend was not clear.

Consequently, the market will probably start showing the signs of tight sideway range on December 23, 2019. Thus, the GBP/USD pair will be restricted by the levels of 1.2885 and 1.3182.

The trend of GBP/USD pair movement was controversial as it took place in a narrow sideways channel, the market showed signs of instability.

Also, it should be noticed that yesterday, the market moved from its bottom at 1.2977 and continued to rise towards the top of 1.3014. Today, in the one-hour chart, the current rise will remain within a framework of correction.

The Relative Strength Index (RSI) is considered overbought because it is above 30. The RSI is still signaling that the trend is upward as it is still strong if breaks the moving average (100). This suggests the pair will probably go up in coming hours.

So it is of the foresight to pay attention to this area. Therefore, try to buy at a lower price around the weekly support level at the price of 1.2977 with a first target of 1.3100 and it willl climb towards 1.3182.

Trading recommendations:

According to the previous events of GBP/USD pair in the Forex market, the price has still been moving between the level of 1.2977 and the 1.3182 level. Therefore, it will be advantageous to buy above 1.2977 with a first target 1.3100. It may resume to 1.3182 iin order to test the weekly pivot point. On the other hand, stop loss should always be in account. For that, it will be of wholesome to set the stop loss below the support 2 at the price of 1.2805.