On the daily chart, we can see a bullish GBP/USD that is trying to break the resistance level of 1.5491, where it formed a fractal last week. For now, we’re waiting for a solid bullish pattern formation in order to continue trading in the current bullish bias, which could get strength when it makes a breakout on the zone mentioned above.
As we expected, the GBP/USD
pair did a successful rebound at the 200 SMA on H1 chart. Now, the pair
is forming a higher high pattern below the resistance zone of 1.5455,
which is also a key level, because the GBP/USD pair already found strong
sellers pressure on this territory last week. A breakout on
that level will lead the GBP/USD pair to visit the 1.5516 level.
resistance levels: 1.5491 / 1.5761
support levels: 1.5247 / 1.5025
H1 chart’s resistance
levels: 1.5455 / 1.5516
H1 chart’s support levels:
1.5413 / 1.5378
Trading recommendations for today: Based on the H1 chart,
place long (buy) orders only if the GBP/USD pair breaks a bullish
candlestick; the resistance level is at 1.5455, take profit is at
1.5516, and stop loss is at 1.5394.
The material has been provided by InstaForex Company – www.instaforex.com