At daily chart, GBP/USD is looking to find a bottom around the level of 1.5199, where it could start to form consolidation patterns in favor of the overall bearish trend. During this week, we expect to see bounces until short-term resistances, such as the level of 1.5346. The 200 SMA is still favoring downside in this time frame.
The short term-outlook is bearish and that's why we would like to enter short trades and no counter-trend trades. GBP/USD is still showing a very strong bearish structure which is pointing towards the next support around the level of 1.5158. The MACD remains in positive territory and fractals positions are still favoring the downside acceleration.
Daily chart's resistance levels: 1.5346 / 1.5543
Daily chart's support levels: 1.5199 / 1.5090
H1 chart's resistance levels: 1.5358 / 1.5443
H1 chart's support levels: 1.5259 / 1.5158
Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.5259, take profit is at 1.5158, and stop loss is at 1.5358.
