It's the 3rd week of January and the GBP/USD pair still has not found the road to continue strengthening the bearish trend in the medium term. On the daily chart, we can see the current bearish moves of the GBP/USD pair, performing a pullback at the resistance level of 1.5247, and of course, this could open the way for more falls until the support level of 1.0525. Anyway, the GBP/USD pair still needs to do a breakout at the level of 1.5025 to stay alive in the bearish outlook.
On the H1 chart, we can see the formation of a bearish trend line from the high of December 31, 2014, to the high level of the last session, next to the resistance level of 1.5251. Currently, the GBP/USD pair is trying to complete a pullback in that zone, because this pair is forming a lower low pattern, with the near-term target at the level of 1.5084. A breakout in that zone will open the way for more falls, at least until the level of 1.5034.
Daily chart's resistance levels: 1.5247 / 1.5424
Dailychart's support levels: 1.5025 / 1.4821
H1 chart's resistance levels: 1.5169 / 1.5251
H1 chart's support levels: 1.5084 / 1.5034
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 1.5084, take profit is at 1.5034, and stop loss is at 1.5134.
The material has been provided by InstaForex Company - www.instaforex.com
