FX.co ★ Technical analysis of GBP/USD for February 21-26, 2022

trend analysis

GBP/USD is likely to increase this week, from 1.3585 (closing of the last weekly candle) to the resistance line at 1.3631 (thick red line). Then, it will go to the upper fractal at 1.3747 (red dotted line) and climb further to 1.3834, which is the 61.8% retracement level (yellow dotted line).

Fig. 1 (daily chart)

Comprehensive analysis:

Indicator analysis - uptrend

Fibonacci levels - uptrend

Volumes - uptrend

Candlestick analysis - downtrend

Trend analysis - uptrend

Bollinger bands - uptrend

Monthly chart - uptrend

All this points to an upward movement in GBP/USD.

Conclusion: The pair will have an upward trend with no lower shadow on the weekly white candle (Monday - up) and no upper shadow (Friday - up).

And during the week, the price will rise from 1.3585 (closing of the last weekly candle) to the resistance line at 1.3631 (thick red line), then go further up to the upper fractal at 1.3747 (red dotted line) and the 61.8% retracement level at 1.3834 (yellow dotted line).

Alternatively, the pair could rise from 1.3585 (closing of the last weekly candle) to the resistance line at 1.3631 (red thick line), then go down to 1.3457, which is the 50.0% retracement level (red dotted line).