Technical analysis of GBP/USD for October 02, 2017

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Overview:

  • The GBP/USD pair continues to move upwards from the area of 1.3350-1.3298. Today, the first support level is currently seen at 1.3298, the price is moving in a bullish channel now. Furthermore, the price has been set above the strong support at the level of 1.3298, which coincides with the 78.6% Fibonacci retracement level. This support has been rejected three times confirming the veracity of an uptrend. According to the previous events, we expect the GBP/USD pair to trade between 1.3298 and 1.3655. So, the support is seen at 1.3298, while daily resistance is found at 1.3655. Therefore, the market is likely to show signs of a bullish trend around the spot of 1.3298. In other words, buy orders are recommended above the zoneof 1.3298 with the first target at the level of 1.3655; and continue towards 1.3886 in coming days. However, if the GBP/USD pair fails to break through the resistance level of 1.3655 today, the market will decline further to 1.3298.
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