FX.co ★ Technical analysis for GBP/USD pair for the week of May 10-15, 2021

Trend analysis

This week, the price from the level of 1.3989 (closing of the last weekly candle) is expected to rise to the target of 1.4142 – the pullback level of 85.4% (yellow dotted line). After reaching this line, it may move higher towards the next target of 1.4227 – the upper fractal (yellow dashed line). If this level is tested, the upward movement may extend to the target of 1.4581 – the resistance line (white thick line).

Figure 1 (weekly chart)

Comprehensive analysis:

• Indicator analysis - up
• Fibonacci levels - up
• Volumes - up
• Candlestick analysis - up
• Trend analysis - up
• Bollinger lines - up
• Monthly chart - up

An upward movement can be concluded based on comprehensive analysis.

The overall result of the candlestick calculation based on the weekly chart: the price will most likely move in an upward trend, both without the first lower shadow (Monday - up) and without the second upper shadow (Friday - up) in the weekly white candlestick.

The price from the level of 1.3989 (closing of the last weekly candle) will increase to the target of 1.4142 – the pullback level of 85.4% (yellow dotted line). After reaching this line, it may continue rising to the target of 1.4227 – the upper fractal (yellow dashed line). If this level is tested, growth may resume to the target of 1.4581 – the resistance line (white thick line).

As an alternative, the price from the level of 1.3989 (closing of the last weekly candle) will move up to the target of 1.4091 – the pullback level of 76.4% (yellow dotted line). After testing this line, it may decline to the target of 1.3817 – the pullback level of 14.6% (red dotted line), and only then is it possible to rise.