GBP/USD analysis for January 5, 2018

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Recently, the EUR/USD pair has been trading sideways at the price of 1.2050. According to the 30M time frame, I found an oversold stochastic oscillator, which is a sign that selling looks risky. The short-term trend is still bullish. I also found a supply trendline in the background, and my advice is to watch for potential bullish breakout to confirm further upward price. The upward targets are set at the price of 1.2100 (pivot resistance 1) and at the price of 1.2137 (pivot resistance 2).

Resistance levels:

R1: 1.2102

R2: 1.2137

R3: 1.2185

Support levels:

S1: 1.2018

S2: 1.1965

S3: 1.1935

Trading recommendations for today: watch for potential buying opportunities.

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