Daily analysis of GBP/USD for October 05, 2017

The pair is looking for catalysts as it remains trapped in a consolidative phase. The 200 SMA is still guiding the path and one could expect more declines to take place. If that happens, GBP/USD should break below the support zone of 1.3209 in order to extend the bearish tone towards the 1.3121 level. MACD indicator is entering neutral territory.

GBPUSDH1.png

H1 chart's resistance levels: 1.3309 / 1.3446

H1 chart's support levels: 1.3209 / 1.3121

Trading recommendations for today: Based on the H1 chart, sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.3209, take profit is at 1.3121 and stop loss is at 1.3294.

The material has been provided by InstaForex Company - www.instaforex.com