FX.co ★ Forecast for GBP/USD on January 10, 2024

GBP/USD

Yesterday, the British pound fell by 37 pips after an unsuccessful attempt (with an upper shadow on the daily candle) to break above the resistance at 1.2745. Since this movement occurred above the balance indicator line, the uptrend remains intact.

The Marlin oscillator plays a crucial role in the current situation. Yesterday, it confirmed the rebound from the upper band of its own descending channel and moved below the zero line. There is a possibility of a decline towards the lower band of this channel, entering into an oversold condition, which could pull the price towards the target support at 1.2524. On the other hand, if Marlin quickly moves back above the zero line and the channel boundary, it could signal an upward price movement towards 1.2826 and even higher towards 1.2907 (the price channel line) and 1.2940 (the target level).

On the 4-hour chart, the price is currently between the indicator lines, and the Marlin oscillator shows an intention to turn into a new upward wave. To confirm this, the price should establish support above the MACD line at 1.2725.