The GBP/USD pair is likely to find strong dynamic resistance at the 200 SMA in the daily chart. That could give a good opportunity for mid-term traders to sell the pair on a pullback and ride the overall bearish trend.
Anyway, the cautioin should be there yet, because GBP/USD could rally
towards the resistance zone of 1.5745.
In the H1 chart, GBP/USD found
strong resistance at the level of 1.5530, because sellers are
very active in this territory. Now, we could talk about a higher
high pattern formation above the 200 SMA, but the fact is that the pair
is trying to find a solid bottom and it could be the support level of
1.5307 in the short term.
resistance levels: 1.5543 / 1.5745
support levels: 1.5371 / 1.5238
H1 chart’s resistance
levels: 1.5472 / 1.5533
H1 chart’s support levels:
1.5392 / 1.5307
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 1.5472, take profit is at
1.5533, and stop loss is at 1.5415.
The material has been provided by InstaForex Company – www.instaforex.com