FX.co ★ Technical analysis of GBP/USD for March 13-18, 2022

trend analysis

GBP/USD is likely to increase this week, from 1.3034 (closing of the last weekly candle) to the 14.6% retracement level at 1.3131 (red dotted line). Then, it will go to the historical resistance level at 1.3203 (blue dotted line) and climb further to 1.3834 the 38.2% retracement level at 1.3306 (red 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 first lower shadow on the weekly white candle (Monday - up) and a second upper shadow (Friday - down).

And during the week, the price will rise from 1.3034 (closing of the last weekly candle) to the 14.6% retracement level at 1.3131 (red dotted line), then go further up to 1.3203, which is the historical resistance level (blue dotted line). Following that will be another increase to the 38.2% retracement level at 1.3306 (red dotted line).

As such, there is little chance that the pair will dip from 1.3034 (closing of the last weekly candle) to the historical support level at 1.2781 (blue dotted line), then bounce up to the historical resistance level at 1.3035 (blue dotted line).