The weekly technical levels of GBP/USD pair:
Intraday trading recommendations:
- According to the previous events, the price of GBP/USD has still been trapped between 1.5933 and 1.5816. The level of 1.5998 will indicate strong resistance (the weekly resistance 1). Moreover, the price will form a new top at this level of 100% Fibonacci retracement levels (1.6021). Therefore, it will be very gainful to sell at 1.5998 with the first target at 1.5878, then it will continue towards 1.5789 in order to test the last week bottom. It should be noted that a double bottom will be set at the level of 1.5789 (00% Fibonacci retracement levels) in H1 chart.
Observations:
- If the trend is buoyant, then the strength of the currency will be defined as following: EUR is in the uptrend and USD is in the downtrend.
- Fibonacci retracement is used for determining accurate psychological levels of support and resistance. The period of time should be taken into account.
- Fibonacci is in a range trade; it looks like the trend is trapped moving up or down. If you sell or buy in the long-term period, you will surely lose your profit.
