FX.co ★ Technical analysis of GBP/USD for March 6-11, 2023

Trend analysis

GBP/USD will continue its rally, climbing up from the closing of last week's candle at 1.2040 to the 61.8% retracement level at 1.2168 (blue dotted line). Upon testing this level, the pair will head towards the upper fractal at 1.2444 (yellow dotted line).

Fig. 1 (weekly chart)

Comprehensive analysis:

Indicator analysis - uptrend

Fibonacci levels - uptrend

Volumes - uptrend

Candlestick analysis - uptrend

Trend analysis - uptrend

Bollinger bands - uptrend

Monthly chart - uptrend

All these point to an upward movement in GBP/USD.

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

So during the week, pound will rise from 1.2040 (closing of last week's candle) to the 61.8% retracement level at 1.2168 (blue dotted line), and then head towards the upper fractal at 1.2444 (yellow dotted line).

Alternatively, quotes could jump from 1.2040 (closing of last week's candle) to the upper fractal at 1.2268 (weekly candle on February 12, 2023), and then return to the support line at 1.2081 (white thick line).