Overview:
On April 9, the bearish trend was resumed towards the level of 1.4550 where a lower daily bottom was reached. That is where the depicted bullish trend was initiated.
The next bullish swing extended up to the levels of 1.5750-1.5800, which offered valid sell entries for traders (depicted with red numbers).
Recently, strong bullish pressure was applied to the resistance level of 1.5800 via the recent bullish swing.
That is why, the resistance level of 1.5800 was temporarily breached. Bulls moved towards 1.5900 where the Triple-Top reversal pattern was confirmed.
The support level of 1.5555 got breached by the end of the previous month due to excessive bearish pressure, which originated at 1.5800.
The GBP/USD pair found the current support zone at 1.5170-1.5150 where a valid intraday buy entry can be offered if enough bullish rejection is expressed today.
Conservative traders should wait for a bullish pullback towards the level of 1.5340 for a low-risk sell entry.
On the other hand, bearish persistence below the level of 1.5170 brings further bearish decline towards the level of 1.5100 initially then 1.5050 (bearish Flag projection target).
The material has been provided by InstaForex Company - www.instaforex.com