GBP/USD performed a rebound above the 200 SMA on the daily chart, where dynamic support was found. Because of it, we want to see a test of the area around the resistance level of 1.5640. We could take the current pattern as a bullish one and that is why we could expect a rise above that resistance mentioned above.
The H1 chart is already showing a bullish consolidation above the 200 SMA and now the nearest target is located at the resistance level of 1.5639. A breakout over there will lead to this pair to test the resistance zone of 1.5672. However, this outlook will get invalidated when GBP/USD does a breakout of the support level of 1.5524 during this week.
Daily chart's resistance levels: 1.5640 / 1.5755
Daily chart's support levels: 1.5543 / 1.5450
H1 chart's resistance levels: 1.5639 / 1.5672
H1 chart's support levels: 1.5596 / 1.5524
Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.5639, take profit is at 1.5672, and stop loss is at 1.5554.
The material has been provided by InstaForex Company - www.instaforex.com