GBP/ILS may fall 325 - 470 pips

Our pivot point stands at 4.8423.

Our preference

The downside prevails as long as 4.8423 is resistance.

Alternative scenario

The upside breakout of 4.8423, would call for 4.8667 and 4.8813.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is negative and below its signal line. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 4.8632 and 4.8619). Finally, the GBP/ILS is trading below its lower Bollinger band (standing at 4.8276).

Supports and resistances

4.8813 **

4.8667 *

4.8423 **

4.8327

4.8205 last

4.7880

4.7735 **

4.7590 *

4.7444 **

Number of asterisks represents the strength of support and resistance levels.