FX.co ★ Indicator analysis: Daily review of GBP/USD on May 20, 2022

Trend analysis (Fig. 1).

The pound-dollar pair may move down from the level of 1.2465 (close of yesterday's daily candle) with the target of 1.2436, the 23.6% retracement level (yellow dotted line). After testing this level, the price may move up to the upper fractal 1.2523 (yellow dotted line).

Fig. 1 (daily chart).

Comprehensive analysis:

• Indicator analysis – up;
• Fibonacci levels – up;
• Volumes – up;
• Candlestick analysis – up;
• Trend analysis – up;
• Bollinger bands – up;
• Weekly chart – up.

General conclusion :

Today the price may move down from the level of 1.2465 (close of yesterday's daily candle) with the target of 1.2436, the 23.6% retracement level (yellow dotted line). After testing this level, the price may move up to the upper fractal 1.2523 (yellow dotted line).

Alternative scenario: from the level of 1.2465 (close of yesterday's daily candle), the price may move up with the target of 1.2497, the 21-period EMA (thin black line). After testing this level, the price may move downward with the target of 1.2382, the 38.2% retracement level (yellow dotted line).