Daily chart: The GBPUSD found strong resistance at the 1.6146 level and this dropped to support at the 1.6046 level. If the pair stays above this level, it is likely that the GBPUSD will continue forming a lower high pattern, to continue up and to break the resistance level at 1.6146. On the other hand, if the pair manages to break the support at the level of 1.6046, it is expected to drop to the level of 1.5883. The MACD indicator remains in positive territory and entering extremely overbought area.
H4 chart: This pair finds support on the bullish trend line near the 1.6040 level. If the pair manages to break that trend line, it is expected to fall to 1.5900 psychological level. On the other hand, it is likely that the GBPUSD finds a strong support in this trend line and continues forming a lower high pattern to keep moving up to the resistance level at 1.6160. The MACD indicator is entering negative territory and is in extreme overbought zone, so we must be cautious.
H1 chart: The GBPUSD found support at the level of 1.6031 after it had fallen from the support at the 1.6117 level. This is likely to only be a corrective move bullish for the overall trend of this pair, but if it manages to break the support at the 1.6031 level, it is expected to fall to the level of 1.5966. On the other hand, if the pair managed to break the resistance at the 1.6075 level, it would be expected to rise to the level of 1.6117. The MACD indicator is extremely oversold and entering neutral territory.
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 1.6075, take profit is at 1.6117, and stop loss is at 1.6032.
