GBP/USD: Potential Rebound as Price Tests Support
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GBP/USD
Yesterday, the British pound declined strongly by more than a figure. The pair reached the support of lows on the 14th and 3rd of August, at 1.2614. By analogy with those days, the price can continue to rise to the nearest resistance level at 1.2814.
Consolidating above this level will open up the next target at 1.2880 – the 50.0% correction level. The Marlin oscillator continues to move towards the boundary of the uptrend territory. On the four-hour chart, the price reached the level of 1.2720 and the balance line. A consolidation above the MACD line took place.
The price is trying to consolidate above 1.2720, but it seemingly lacks support from the Marlin oscillator, which hasn't left the downtrend territory yet. If the price doesn't drop significantly in the next two candles, Marlin might cross the zero line and pull the price along. The MACD line (1.2690) acts as support.
