GBP/USD has been trading above the 200 SMA, looking for an opportunity to reach the resistance level of 1.5640, a zone which was tested during the last week. However, we should be aware of a breakout at the support level of 1.5543 that could change
the focus to the downside (more specific at the level of 1.5450). The MACD
indicator is at neutral territory.
On the H1 chart, the pair continues
performing lower swings and now it is trading below the 200 SMA
with a possible bearish pattern. If GBP/USD successfully achieves that
pattern, it would be expected to test the support level
of 1.5524. In the bullish side, a breakout above the level of 1.5596 will open doors to visit the price zone around 1.5639.
resistance levels: 1.5640 / 1.5755
support levels: 1.5543 / 1.5450
H1 chart’s resistance
levels: 1.5596 / 1.5639
H1 chart’s support levels:
1.5524 / 1.5485
Trading recommendations for today: Based on the H1 chart,
place buy (long) orders only if the GBP/USD pair breaks a bullish
candlestick; the resistance level is at 1.5596, take profit is at
1.5639, and stop loss is at 1.5554.
The material has been provided by InstaForex Company – www.instaforex.com