The GBPUSD pair has fluctuated for a while, however, we can still see the upward trend here. Recently we can see the price seems to slow down, the rising momentum is getting weak.
Is the price turning around? What has caused this situation? As can be seen from the 4-hour plot, the price just finished the rising wedge pattern, which is considered a bullish signal. Having said that, the price has moved sideways the past 3 days, and it seems that the next move is still undecided.
Will the price go down as we expected? First, the MACD has already been on a downward trend, although we cannot see any clear cross here, the downward trend cannot be fake.
Next, we can see the Stochastics have gone down too, but we should be aware that Stochastics have already stepped into the oversold area. For now, we can still consider these Stochastics as a bearish signal, because the oversold situation could last, also, it is still in the downward trend.
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forex, trading conditions, technical analysis, fundamental analysis