FX.co ★ Forecast for GBP/USD on February 11, 2020

GBP/USD

The pound grew by 32 points on Monday as a correction to the previous three-day one and a half figure decline. The correction to this decrease was 38.2%. Today a large block of British economic data will be released. Mixed expectations: GDP for the fourth quarter may show zero growth, the trade balance for December is expected to worsen from -5.3 billion pounds to -10.0 billion. Production in the construction sector in December is expected to be -0.4% against 1.9% a month earlier. Industrial production may show an increase of 0.3%, but the previous decline was -1.2%. Manufacturing, which is expected to grow by 0.5%, against the background of November -1.7%, does not look optimistic. As a result, we expect the British pound to fall.

The first target is the Fibonacci level of 138.2% on the daily chart (1.2820). Behind it lies the second target - the 1.2728/58 range, formed by the Fibonacci level of 123.6% and the peak on June 12 of last year.

On the H4 chart, the signal line of the Marlin oscillator is near the boundary with the growth trend territory. It is likely that the line will move down from this boundary.