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

Trend analysis

GBP/USD will start decreasing this week, from the closing of the last weekly candle at 1.1885 to the 23.6% retracement level at 1.1628 (yellow dotted line). After that it will resume upward movement to the upper fractal at 1.2026 (yellow dotted line) and to higher price levels.

Fig. 1 (weekly chart)

Comprehensive analysis:

Indicator analysis - downtrend

Fibonacci levels - downtrend

Volumes - downtrend

Candlestick analysis - downtrend

Trend analysis - uptrend

Bollinger bands - uptrend

Monthly chart - uptrend

All this points to a downward movement in GBP/USD.

Conclusion: The pair will have a bearish trend, with no first upper shadow on the weekly black candle (Monday - down) and a second lower shadow (Friday - up).

So during the week, pound will fall from 1.1885 (the closing of the last weekly candle) to the 23.6% retracement level at 1.1628 (yellow dashed line), then bounce up to the upper fractal at 1.2026 (yellow dotted line). The upward movement may continue from this level.

Alternatively, quotes could dip from 1.1885 (the closing of the last weekly candle) to the 14.6% retracement level at 1.1780 (yellow dotted line), then move up to the 85.4% retracement level at 1.2009 (blue dotted line).