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17.09.201915:06 Forex Analysis & Reviews: Technical analysis of GBP/USD for September 17, 2019

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Overview:

The GBP/USD pair is having problem sustaining its bullish momentum after finding resistance at the 1.2504 level.

We note clearly that the saturation set around the area of 1.2500.

It should to notification that the level of 1.2504 is coincided with he double top in the H1 chart.

The current rise will remain within a framework of correction. However, if the pair fails to pass through the level of 1.2504, the market will indicate a bearish opportunity below the strong resistance level of 1.2504.

Therefore, a possibility that the GBP/USD pair will have downside momentum is rather convincing and the structure of a fall does not look corrective. In order to point out a bearish chance below 1.2504.

If the GBP/USD pair fails to break out through the resistance level of 1.2504; the market will decline further to the level of 1.2295 (weekly support 2) in coming hours.

However, the RSI is still signaling that the trend is upward as it remains strong above the moving average (100). So, it would also be sage to consider where to place a stop loss; this should be set above the second resistance of 1.2584.

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