Technical analysis of GBP/USD for January 8-13

Trend analysis

This week, GBP/USD may rise from 1.2715 (closing price of the last weekly candle) to the 76.4% retracement level of 1.2898 (red dotted line). Upon testing it, the pair will move further up towards the 85.4% retracement level of 1.2990 (red dotted line).

Fig. 1 (weekly chart)

Comprehensive analysis:

Indicator analysis - upward

Fibonacci levels -upward

Volumes - upward

Candlestick analysis - upward

Trend analysis - upward

Bollinger bands - upward

Monthly chart - upward

Conclusion: The indicators point to an upward movement in GBP/USD.

Overall conclusion: The pair will have a bullish trend, with a first lower shadow on the weekly white candle (Monday - downward) and a second upper shadow (Friday - downward).

So during the week, pound will climb from 1.2715 (closing price of the last weekly candle) to the 76.4% retracement level of 1.2898 (red dotted line), and then rise further to the 85.4% retracement level of 1.2990 (red dotted line).

Alternatively, it could increase from 1.2715 (closing price of the last weekly candle) to the 76.4% retracement level of 1.2898 (red dotted line), followed by a decline to the upper fractal located at 1.2826 (weekly candle from December 24, 2023).