FX.co ★ Forecast for GBP/USD on December 5, 2023

GBP/USD

Yesterday, the British pound fell by 79 pips, forming a range (gray rectangle on the daily chart) before a significant movement. The signal line of the Marlin oscillator has left its own channel by moving downward, indicating that the subsequent movement is most likely a downward movement as well.

The prospect of this movement is visible in the convergence area of the target level of 1.2373 and the green channel's price line. It has a bullish potential if the price consolidates above 1.2645. Targets are marked on the chart: 1.2745, 1.2837.

On the 4-hour chart, the price has settled below both indicator lines and the level of 1.2645. The Marlin oscillator is heading downward, favoring a downtrend. The initial target is 1.2524. The first sign of a trend change would be the price surpassing the MACD line above the 1.2676 mark.