Forecast:
- According to the previous events, the price of GBP/USD pair has still been trapping between the levels of 1.7012 and 1.7073.
- The level of 1.7050 is representing the double top and the weekly resistance one is set at 1.7073.
- Sell below the level of 1.7073 in the short term with the first target of 1.7012, it might resume to 1.6975 if the trend will be able to break the weekly pivot point at the price of 1.7012.
General idea about the pivot points:
- R3 and S3 are considered to be clear indicators of the maximum range of extreme volatility, though it is possible to pass them through. Pivot lines work well on sideways markets, as the prices are most likely to be located between the R1 and S1 lines. Within a strong trend, the price is expected to be lower than the pivot point line and continue the movement. If the breaking news released affects the market, the price is likely to go straight through R1 or S1 and even reach R2 and R3 or S2 and S3.
Happy Ramadan 1435 (2014)!
I would like to wish a happy Ramadan for all Muslims around the world, faith replenishing, insightful and enlightenment.
