Saturday, August 04, 2018

The GBP/USD Downward Trend Should Continue

The pair entered the support zone around 1.3020  -1.2990>>>  and I think it should begin a correction to the upside.

Unfortunately, I also think the butterfly won’t reach its limit completely, the downward trend is very strong and the pair appears to be heading inexorably to the downside to test the historical low at 1.1986 from 1st January 2017.

A signal for a renewal of the downward trend would be the breakout below the RSI divergence on the D1 time frame.

If the pair breaks out below the support around 1.3020 – 1.2990 we could expect the next strong support zone for the GBP to be the zone around 1.2750 - 1.2650.