Overview:
- The price of the GBP/USD pair has been not stable because the trend has been moving downwards from the price of 1.5284 towards the price of 1.4946. Then it corrected the uptrend to set at the price of 1.5140 today. Additionally, the pair is going to be trapped between 1.5284 and 1.5050. Furthermore, it should be noted that the resistance has already set at the price of 1.5284 (it coincides with the ratio of 32.8% Fibonacci retracement levels) and the supports are placed at 1.5050 and 1.4949 which represent the weekly pivot point and the double bottom, respectively. As a result, the GBP/USD pair is likely to start showing signs of the bearish market at the level of 1.6940 because the market will indicate a bearish opportunity at the spot of 1.5284, so the level will be acting as strong resistance today. In other words, it will be a good decesion to sell below the price of 1.5284 with the first target of 1.5050 in order to try to close below the weekly pivot point. It will call for the downtrend to continue its bearish movement towards 1.4949 to test the double bottom on the H4 chart. On the other hand, the stop loss should be placed above 1.5327.
