FX.co ★ Indicator analysis. GBP/USD daily review on January 12, 2022

Trend analysis (Fig. 1)

GBP / USD may decline on Wednesday, from 1.3631 (closing of yesterday's daily candle) to 1.3566, which is the 14.6% retracement level (red dotted line). After that it will go to 1.3635, which is the upper fractal (red dotted line).

Fig. 1 (daily chart)

Comprehensive analysis:

Indicator analysis - downtrend

Fibonacci levels - downtrend

Volumes - downtrend

Candlestick analysis - downtrend

Trend analysis - uptrend

Bollinger bands - uptrend

Weekly chart - uptrend

Conclusion: GBP/USD will dip from 1.3631 (closing of yesterday's daily candle) to the 14.6% retracement level at 1.3566 (red dotted line). Then, it will go to 1.3635, which is the upper fractal (red dotted line).

Alternatively, the pair could go down from 1.3631 (closing of yesterday's daily candle) to the support line at 1.3584 (yellow bold line), then bounce up to the historical resistance level of 1.3618 (blue dashed line).