FX.co ★ Forecast for GBP/USD on October 19, 2022

Yesterday, the British pound rolled back slightly from the resistance reached on Monday, formed by the balance (red) and MACD (blue) indicator lines on a daily timescale.

Now the price is between the target level of 1.1305 and the MACD line. Accordingly, consolidating above 1.1380 will allow the price to overcome the immediate resistance at 1.1500 and continue to rise to 1.1760. Consolidating under 1.1305 opens the first and weak target at 1.1170, leaving the area under which will open the 1.0810 target. Today, it turns out, is the day we wait for the price's direction.

A weak divergence has formed on the four-hour chart, which increases the likelihood of the price consolidating under the support of 1.1305. Consolidating below the level will show its intention to close the gap, that is, reaching the level of 1.1170.

Consolidating above 1.1380 may extend the corrective growth to 1.1500. We are waiting for the development of events.