GBPUSD forecast bearish after slowing UK construction report
Technical Analysis Summary GBP/USD: Sell
| Indicator | Value | Signal |
| RSI | Neutral | |
| MACD | Sell | |
| Donchian Channel | Neutral | |
| MA(200) | Buy | |
| Fractals | Neutral | |
| Parabolic SAR | Sell |
Chart Analysis
The technical analysis of the GBPUSD price chart on 1-hour timeframe shows GBPUSD: H1 is retracing down toward the 200-period moving average MA(200) which is rising still. We believe the bearish movement will continue after the price breaches below the lower Donchian boundary at 1.2158. A level below this can be used as an entry point for placing a pending order to sell. The stop loss can be placed above 1.2221. After placing the order, the stop loss is to be moved to the next fractal high indicator, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level without reaching the order, we recommend cancelling the order: the market has undergone internal changes which were not taken into account.
Fundamental Analysis of -
UK’s construction sector activity slowed in November. Will the GBPUSD price rebound resume?
UK’s construction sector activity slowed in November: Markit reported UK Construction PMI declined to 50.4 in November from 53.2 in October, when a decline to 52.0 was forecast. Readings above 50.0 indicates industry expansion, below indicate contraction. This is bearish for GBPUSD. However, the current setup is bullish for the pair.