FX.co ★ Forecast for GBP/USD on December 31, 2021

The British pound has traveled more than a hundred points this week and reached the desired target of 1.3505 - the Fibonacci level of 110.0% on the daily scale chart. Consolidating above the level will open the second target 1.3570 - Fibonacci level 100.0%. The Marlin Oscillator has penetrated into the overbought zone, has fallen into the horizontal direction - a correction is likely from the level reached. The retracement limit is the 123.6% Fibonacci level (1.3410). Consolidating below it will reverse the movement into a medium-term decline with the target of 1.3160.

On the H4 chart, the price is struggling with the resistance of the Fibonacci line of 110.0%. Divergence with Marlin has a significant price counteraction in this. The correction limit here is also indicated by the level of 1.3410, which the MACD line is approaching. We are waiting for the interchange in the first days of January.