FX.co ★ Indicator analysis: Daily review of GBP/USD on July 22, 2022

Trend analysis (Fig. 1).

The pound-dollar pair may move downward from the level of 1.1998 (close of yesterday's daily candle) to the target of 1.1935, the 38.2% retracement level (blue dotted line). After testing this level, the price may rise with the target of 1.2044, the 50% retracement level (red dotted line). Upon reaching this level, continued upward movement is possible.

Fig. 1 (daily chart).

Comprehensive analysis:

• Indicator analysis – down;
• Fibonacci levels – down;
• Volumes – down;
• Candlestick analysis – down;
• Trend analysis – up;
• Bollinger bands – down;
• Weekly chart – up.

General conclusion:

Today, the price may move downward from the level of 1.1998 (close of yesterday's daily candle) to the target of 1.1935, the 38.2% retracement level (blue dotted line). After testing this level, the price may rise with the target of 1.2044, the 50% retracement level (red dotted line). Upon reaching this level, continued upward movement is possible.

Alternative scenario: from the level of 1.1998 (close of yesterday's daily candle), the price may move downward with the target of 1.1935, the 38.2% retracement level (blue dotted line). After testing this level, continued downward movement is possible with the target of 1.1903, the 50% retracement level (blue dotted line). Upon reaching this level, the price may move up.