GBPUSD – Downside potential rises

22.02.2022

Daily: Trades are on the decline in the center of the upper Bollinger band zone (1.3534-1.3665). ADX indicators are in the active zone, and the price can quickly reach the lower band of the range.

Н4: A stable support level in the area of ​​the lower Bollinger envelope (1.3572) will be able to keep the pressure of the bears for some time, pushing the quotes towards the middle line at 1.3606.

Н1: There is a strong zone of demand for the GBP in the area of ​​1.3572-1.3585. There are no significant turnovers on the ADX yet, which may well give the market an opportunity for a correction to the middle Bollinger band (1.3606-1.3611).

Scenarios:

  • Main – Reversal down to 3572 and 1.3534, after rebound from 1.3606.
  • Alternative – Decrease immediately to 1.3534.

Recommendations: Sell from 1.3606 to 1.3572 and 1.3534.