The GBP/USD pair was trading around the area of 1.3592/1.3551 a week ago. Today, the level of 1.3551 represents a daily support in the H4 time frame.
The pair has already formed the minor resistance at 1.3600 and the strong resistance is seen at the level of 1.3662 as it represents the daily resistance 1.
So, the major resistance is seen at 1.3662, while immediate support is found at 1.3551.
If the pair closes below the weekly pivot point of 1.3551, the GBP/USD pair may resume its movement to 1.3449 to test the daily support 1.
From this point, we expect the GBP/USD pair to move between the levels of 1.3507 and 1.3662.
Equally important, the RSI is still calling for a strong bearish market and the current price is below the moving average 100.
As a result, sell below the levels of 1.3662/1.3701 with targets at 1.3551 and 1.3449 in order to form a double bottom.
However, stop loss should always be taken into account; accordingly, it will be beneficial to set the stop loss above the last bullish wave at the level of 1.3748.
