On the daily chart, GBP/USD has been trading above the support level of 1.5181, after it was rejected at that territory during Monday’s session. That’s why we should be aware of possible rallies towards the resistance zone of 1.5329. When a
breakout takes place there, the pair will try to gain positions
across the level of 1.5479.
The pair is already trying to correct the
decline that has been unfolding for several days. It could reach the 200 SMA on the H1 chart soon. That level is located at 1.5329, where a
pullback could happen in order to gain fresh bearish momentum. There is an opportunity that GBP/USD will break the support level
of 1.5272 and fall to 1.5220.
Daily chart’s resistance
levels: 1.5329 / 1.5479
Daily chart’s support
levels: 1.5181 / 1.5089
H1 chart’s resistance
levels: 1.5329 / 1.5402
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 1.5328.
The material has been provided by InstaForex Company – www.instaforex.com