Daily chart: This pair is finding support at the 1.6851 level. This bearish movement is part of a corrective movement in favor of the bullish trend, so expect this pair to make a bullish rebound at current levels. However, if the GBP/USD does a breakout at that support level, it is expected to fall to the level of 1.6766. The MACD indicator is in negative territory.
H4 chart: The GBP/USD is trying to form a bearish pattern below the resistance level of 1.6900 after the pair has found resistance above the 1.7000 level. If the pair manages to make a breakout at the support level of 1.6841, it's expected to fall to the level of 1.6822. The MACD indicator is in negative territory.
H1 chart: The GBP/USD stays below the 200 SMA and now this pair is finding support at the level of 1.6850. If GBP/USD manages to make a breakout at that level, it would be expected to fall to the level of 1.6800. However, one would expect that the GBP/USD will attempt to climb up the 200 SMA. MACD indicator is oversold.
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 1.6900, take profit is at 1.6950, and stop loss is at 1.6850.
The material has been provided by InstaForex Company - www.instaforex.com
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