FX.co ★ Technical analysis on GBP/USD for February 2021

Trend analysis.

In February, the price is expected to move up with the first target set at 1.3940 - the 85.4% retracement level (red dotted line) - from 1.3701, the closing level of January's monthly candlestick. In case the price tests the line, the bullish trend will extend with the upper target seen at 1.4230 - the historical resistance level (blue dotted line).

Figure 1 (monthly chart).

Indicator analysis:

- indicator analysis - upward trend

- Fibonacci levels - upward trend

- volumes - upward trend

- candlestick analysis - downward trend

- trend analysis - upward trend

- Bollinger bands- upward trend

According to the comprehensive analysis, the price is likely to be in the upward trend.

Based on the candlestick monthly chart on GBP/USD, the price is likely to move in the upward trend. The monthly white candlestick will possibly not have both its lower (the first week of the month) and upper shadows (the last week of the month).

Most likely, the price will move up from 1.3701, the closing level of January's monthly candlestick, with the first target set at 1.3940 - the 85.4% retracement level (red dotted line). In case the price tests the line, the bullish trend will extend with the upper target seen at 1.4230 - the historical resistance level (blue dotted line).

Alternatively, the price may go down from 1.3701, the closing level of January's monthly candlestick with the first target set at 1.3412 - the 14.6% retracement level (blue dotted line).