On the daily chart, GBP/USD continues to trade in a lower range. It has already made a breakout at the support level of 1.5329. This was a highly anticipated move because of the current cable’s behavior in this time frame.
The next target is located at
the level of 1.5224 where it should be expected to see some rebounds before
any move lower.
The pair is looking for an opportunity to test the support
level of 1.5272 after the breakout at 1.5331.
Currently, as we can see on the H1 chart, the 200 SMA is bearish and current
lower swings are calling for more downside in the GBP/USD. We should
expect a break at 1.5272 and this would be the move
that could send the pair towards to level of 1.5220.
Daily chart’s resistance
levels: 1.5329 / 1.5438
Daily chart’s support
levels: 1.5224 / 1.5107
H1 chart’s resistance
levels: 1.5331 / 1.5368
H1 chart’s support levels:
1.5272 / 1.5220
Trading recommendations for today: Based on the H1 chart,
place sell (short) orders only if the GBP/USD pair breaks a bearish
candlestick; the support level is at 1.5272, take profit is at
1.5220, and stop loss is at 1.5322.
The material has been provided by InstaForex Company – www.instaforex.com