FX.co ★ Forecast for GBP/USD on May 17, 2024

GBP/USD

Yesterday, the British pound slightly declined, closing the day with a black candle for the first time in five days. The rise that we saw in the last five days was quite significant, about two figures. Therefore, traders may repeat corrective attempts to break through the MACD line at the 1.2642 level, the first of which failed yesterday.

Until the price consolidates below the MACD line, it is inclined to rise towards the target level of 1.2745, even if it doesn't reach this mark.

On the 4-hour chart, the price is staying above the 1.2642 level, but the Marlin oscillator continues to approach the boundary of the bearish territory, supporting the possibility of subsequent attempts to overcome the MACD line on the daily timeframe.

In addition, it is worth noting that the MACD line on the four-hour chart may soon be in between the 1.2596 and 1.2642 levels. Therefore, we can only consider a price reversal to a medium-term downtrend once it falls below 1.2596.