For Traders

Analytical Reviews

Technical analysis

21.07.201401:11 Forex Analysis & Reviews: Daily analysis of GBP/USD for July 21, 2014

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Daily chart: The GBP/USD remains weak and a bearish trend could regain strength in the coming days as the next target of this pair is the support level of 1.7000. If GBP/USD manages to make a breakout at that level, it would be expected to fall to the support level of 1.6851, so this pair could fall to 200 SMA in the long term. The MACD indicator remains in negative territory.

H4 chart: Again the GBP/USD made a bullish rebound above the 200-day moving average, which is close to the support level of 1.7062, so it is likely that this pair will rise to the resistance level of 1.7179. However, a consolidation below the 200 SMA, could lead the GBP/USD to fall to the support level of 1.6995. The MACD indicator is in negative territory.

H1 chart: The GBPUSD attempted to make a breakout at the 1.7050 level but failed and now this pair is trying to consolidate above the resistance level of 1.7100. If successful, it is expected to rise to the level of 1.7150, which is above the 200 SMA. MACD indicator is in positive territory.

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 1.7050, take profit is at 1.7000, and stop loss is at 1.7100.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.