Weekly technical levels of the GBP/USD pair.
Forecast:
- According to the previous events, the price of the GBP/USD pair has still been trapped between the levels of 1.6280 and 1.6190. The level of 1.6198 is representing the weekly pivot point. Also, it should be noted that the weekly pivot point is coinciding with the ratio of 61.8% Fibonacci retracement levels. So, sell (sell stop) below 1.6198 in the short term with the first target of 1.6120 in order to test the weekly support 1, it might resume to 1.6051 (the double bottom) if the trend will be able to break the weekly support 1 at 1.6120. The stop loss should never exceed your maximum exposure amounts.
Review:
- If the trend is of an upside character, then the strength of the currency will be defined as following: GBP is an uptrend and USD is a downtrend.
- Major support for September 15-19, 2014: 1.5980.
- Major resistance for September 15-19, 2014: 1.6423.
- We expect a new range about 180 pips this week.
- It should be noted that if there is no significant news to influence, the market price will be moving from pivot point to resistance 1 or support 1. But if there is a significant news, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2 and even resistance 3 or support 3.
