Daily chart: The GBP/USD rose to the resistance level of 1.6540, where the pair found a strong bearish pressure. Now, this pair is forming a lower high pattern above the support at the level of 1.6447. If the pair manages to break that resistance level, it is expected to rise to the level of 1.6663. However, it is very likely that this pair begins to make slow movements this week, due to lower year-end volatility in the forex market. The MACD indicator is still in positive territory.
H4 chart: GBP/USD is trying to consolidate above support at the 1.6464 level. If this pair manages to break the resistance level of 1.648, it is expected to rise to the level of 1.6515. On the other hand, if the pair manages to break this support level, it will be expected to fall to the level of 1.6441. For now, the GBP/USD remains very bullish, so we recommend following the trend. The MACD indicator is in positive territory.
H1 chart: This pair is forming a higher low pattern under the resistance level of 1.6507. Recall that GBP/USD found strong resistance at the level of 1.6544 . However, if this pair manages to break the resistance level of 1.6507, it is expected to rise to the level of 1.6544. Moreover, if this pair does break the support at the level of 1.6464, it is expected to fall to the level of 1.6419. The MACD indicator is in negative 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 1.6507, take profit is at 1.6554, and stop loss is at 1.6471.
