FX.co ★ Technical analysis for GBP/USD, December 24, 2021

Trend analysis (fig. 1).

Today, the GBP/USD pair is likely to start moving down to the target level of 1.3372, the retracement level of 23.6% (red dotted line) from the level of 1.3405 (closing of yesterday's daily candlestick). After testing this level, the price may continue to decline to the target level of 1.3333, the retracement level of 38.2% (red dotted line).

Fig. 1 (daily chart).

Complex analysis:

- technical indicator analysis - down;

- Fibonacci retracement levels - down;

- trading volumes - down;

- candlestick analysis - down;

- trend analysis - up;

- Bollinger lines - up;

- weekly chart - up.

Conclusion:

Today, the GBP/USD pair is likely to start moving down to the target level of 1.3372, the retracement level of 23.6% (red dotted line) from the level of 1.3405 (closing of yesterday's daily candlestick). After testing this level, the price may continue to decline to the target level of 1.3333, the retracement level of 38.2% (red dotted line).

An unlikely scenario is that from the level of 1.3405 (the closing of yesterday's daily candlestick), the pair may try to rise to the target level of 1.3500, a 50% retracement level (yellow dotted line). After testing this level, the price may decline.