Analysis of GBP / USD pair: Divergences for September 19. Two bearish divergences stop the pound’s trek upward

4h

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The new bearish divergence, formed by the MACD indicator on the 4-hour chart, allowed the GBP / USD pair to stop the growth process, but not to start the fall. The pair is still able to turn in favor of the US currency and begin a decline in the direction of the correction level of 23.6% to 1.3067, but the passage of the last peak of the divergence will work in favor of continuing growth towards the corrective level of 38.2% at 1.3316. On September 19, there are no new brewing divergence for any indicator.

The Fibo grid was established on the boundaries of April 17, 2018 and August 15, 2018.

1h

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On the hourly chart, the pair also suspended the growth process due to the bearish divergence of the MACD indicator. As a result, today the pair can perform a return to the Fibo level of 127.2% at 1.3112. Passing the last peak of the divergence will allow traders to count on the resumption of growth in the direction of the correction level of 161.8% at 1.3202. The consolidation of the pair above the Fibo level of 161.8% will increase the chances of the growth to continuing growth towards the next correction level of 200.0%.

The Fibo grid was established on the boundaries of August 30, 2018 and September 5, 2018.

Recommendations for traders:

Purchases of the GBP / USD pair can be carried out with the target of 1.3202 and a stop loss order under the correction level of 127.2% if there is a retreat from the Fibo level of 1.3112 (hourly chart).

Sales of the GBP / USD pair can now be carried out with a target of 1.3112 and a Stop Loss order over the last peak of the divergence.

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