FX.co ★ Forecast for GBP/USD on May 12, 2023

GBP/USD

After sharply falling on Thursday, we have confirmed the divergence with the Marlin oscillator, we saw a price reversal with the intention to move into a medium-term decline. The final sign is when it crosses the MACD line (1.2404). The Marlin oscillator has settled on a downward movement, the pound can quickly reach the MACD line.

On the four-hour chart, the price has consolidated below the balance and MACD indicator lines, Marlin is in negative territory. We have a bearish situation, so now we're just waiting for the price to reach the target levels of 1.2447 and 1.2404.

Depending on the pace of the oscillator's decline, it may reach oversold condition at one of the target levels, which may lead the price to a correction.