On the daily chart, we can see a bullish GBP/USD that is trying to break the resistance level of 1.5491, where it formed a fractal last week. For now, we're waiting for a solid bullish pattern formation in order to continue trading in the current bullish bias, which could get strength when it makes a breakout on the zone mentioned above.
As we expected, the GBP/USD pair did a successful rebound at the 200 SMA on H1 chart. Now, the pair is forming a higher high pattern below the resistance zone of 1.5455, which is also a key level, because the GBP/USD pair already found strong sellers pressure on this territory last week. A breakout on that level will lead the GBP/USD pair to visit the 1.5516 level.
Daily chart's resistance levels: 1.5491 / 1.5761
Dailychart's support levels: 1.5247 / 1.5025
H1 chart's resistance levels: 1.5455 / 1.5516
H1 chart's support levels: 1.5413 / 1.5378
Trading recommendations for today: Based on the H1 chart, place long (buy) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.5455, take profit is at 1.5516, and stop loss is at 1.5394.
The material has been provided by InstaForex Company - www.instaforex.com
