FX.co ★ Forecast for GBP/USD on October 16, 2019

GBP/USD

The British pound grew by 180 points on Tuesday on the news of the practical readiness of the EU and Britain to conclude an agreement on Brexit. It is reported that this is practically the same as Theresa May's proposal, which was rejected several times by Parliament. Today it will be adopted in finalization and the word will once again be in the British Parliament. If the deal is adopted, then we no longer expect strong growth of the British currency.

On the weekly chart, the price has reached the MACD line and the balance line, from which a reversal is planned according to the smaller time frames.

On the daily chart, the price is being traded in the range of Fibonacci levels of 123.6% -110.0%. We are waiting for a correctional decline to the level of 161.8% at the price of 1.2548. The correction looks more complete to the price channel line at 1.2472.

The oscillator convergence is formed on the four-hour chart. Here, the target level of 1.2472 is confirmed by the MACD line to which it aspires.