Our team has over 7,000,000 traders!
Every day we work together to improve trading. We get high results and move forward.
Recognition by millions of traders all over the world is the best appreciation of our work! You made your choice and we will do everything it takes to meet your expectations!
We are a great team together!
InstaSpot. Proud to work for you!
Actor, UFC 6 tournament champion and a true hero!
The man who made himself. The man that goes our way.
The secret behind Taktarov's success is constant movement towards the goal.
Reveal all the sides of your talent!
Discover, try, fail - but never stop!
InstaSpot. Your success story starts here!
On Wednesday, the GBP/USD pair continued its downward movement, showing no signs of correction. Similar to the euro, only one report could have influenced buyers or sellers yesterday. In reality, it supported neither. The U.S. Consumer Price Index matched market expectations, leaving no significant reason for the market to react. However, the market once again demonstrated that the current situation is not driven by U.S. inflation or the Federal Reserve's upcoming decision in December. Instead, the market continues to rebalance the dollar's exchange rate—a trend we predicted throughout the year's first half. The British pound rose similarly for two years, often without justification, while the market ignored numerous factors favoring the U.S. dollar. We are witnessing a logical decline in the pound and the strengthening of the dollar. This has nothing to do with Trump.
Some levels were also revised on Wednesday in the 5-minute timeframe. The price bounced three times from the 1.2754 level, dropping to the 1.2680–1.2685. Although it failed to break below this zone on the first attempt, it may not hold today. Thus, we currently see no signs of even a minor upward correction. The pound can easily continue its decline.
In the hourly time frame, GBP/USD continues to trend downward. Over the past few weeks, we observed a flat movement between 1.2860 and 1.3043, but this range broke on Tuesday. We fully support the pound's decline in the medium term, as it appears to be the only logical direction. While the pound may attempt another correction soon, it will require strong support to materialize.
On Thursday, novice traders can anticipate the downward movement persisting if the price breaks below the 1.2680–1.2685 area. The price has already consolidated slightly below this zone.
On the 5-minute TF, you can now trade at 1.2547, 1.2633, 1.2680-1.2685, 1.2754, 1.2791-1.2798, 1.2848-1.2860, 1.2913, 1.2980-1.2993, 1.3043. On Thursday, the UK's economic calendar is empty, while the U.S. will release a few reports unlikely to impact market sentiment significantly. Powell's speech will carry more weight, but how could Powell possibly help the euro or the pound?
Support and Resistance Levels: Levels that serve as targets for opening buys or sells. Take Profit levels can be placed around these areas.
Red Lines: Channels or trend lines that indicate the current trend and the preferred trading direction.
MACD Indicator (14,22,3): Histogram and signal line—an auxiliary indicator that can also be used as a source of signals.
Major speeches and reports (always found in the news calendar) can significantly impact currency pair movements. Therefore, it's advised to trade cautiously or exit the market during their release to avoid sharp price reversals against prior movements.
Beginners trading on the forex market should remember that not every trade will be profitable. A clear strategy and money management are the keys to success in long-term trading.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
InstaSpot analytical reviews will make you fully aware of market trends! Being an InstaSpot client, you are provided with a large number of free services for efficient trading.
