16.04.201411:12 Forex Analysis & Reviews: Technical analysis of GBP/USD for April 16, 2014

Overview:

• The price of the GBP/USD pair has been not stable because the trend has been moving between 1.6590 and 1.6845 since April 4, 2014. Furthermore, it should be noted that the resistance has already set at the price of 1.6845 and the support is placed at 1.6590. Accordingly, it is of the wisdom to be careful in this area (rectangle).

• So, the first step is waiting in this spot before investing. As a result, it will probably be that the GBP/USD pair is going to start showing the signs of bullish market at the level of 1.6590. In other words, it will be a good sign to buy above the price of 1.6600 with the first target of 1.6766 in order to try to close above the weekly pivot point and it will call for uptrend to continue its bullish movement towards 1.6845 for forming the strong resistance in H1 chart. Consequently, the market will indicate a bearish opportunity at the spot of 1.6830. Thus, the level will be acting as strong resistance today. For that, it is providing a clear signal for sell deals with the target seen at 1.6770. On the other hand, the stop loss should be placed above 1.6883.