Currency pair Pound Dollar GBP/USD completes trading week near area 1.33. The pair continues to move within the bullish channel. At this point we should expect the growth of quotations and the test of the level of 1.3550 within the framework of the formation of the «Head and Shoulders» reversal model. Near the 1.35 area, we again expect an attempt to drop the GBP/USD quotations to the lower channel boundary area.
GBP/USD weekly forecast on October 16 — 20, 2017
In favor of the fall of the British Pound will perform a test of the resistance area on the indicator of relative strength index (RSI). The cancellation of the GBP/USD growth option on Forex will be the breakdown of the 1.37 area, which indicates the breakdown of the upper border of the channel and the continued growth of the pair. Expect the acceleration of the fall of the GBP/USD pair with a breakdown of the level of 1.3050.
Among the important news from the UK, which may have an impact on the Pound/Dollar rate, there are: Change in the number of applications for unemployment benefits, the Consumer Price Index, the number of initial applications for unemployment benefits.
GBP/USD weekly forecast on October 16 — 20, 2017 assumes a test of the level of 1.3550, from which it is expected to start falling of quotations to the lower border of the channel, in favor of the fall of the pair, the resistance area test will be performed on the indicator of relative strength index (RSI), breakdown of the region 1.37.