Forecast for GBP/USD on December 20, 2022

The markets started the week with rising risk aversion, continuing the trend that started in the second half of last week. US stock index S&P 500 fell by 0.90%, but European indices still managed to close the day in the green zone. Yields on U.S. government bonds rose. On 5-year securities from 3.62 (Friday's close) to 3.72%.

The British pound closed the day near the opening level of 1.2155. This morning, the price continues to look closely at the downward movement, the descending Marlin oscillator shares this intention. The target is 1.1933.

On the four-hour chart, the price spent two days under the balance indicator line, indicating a consolidation before an impulsive downward movement. Consolidation was supported by the target level of 1.2155 (low of May 13), now the price has crossed this level. The reversal of the signal line of the Marlin oscillator suggests that the downward movement will progress today.