02.10.201501:29 Forex Analysis & Reviews: Daily analysis of GBP/USD for October 02, 2015

Long-term review

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GBP/USD is still dominated by bears below the resistance zone of 1.5169 on the daily chart. Also, we should expect some bearish action until the support level of 1.5030, where a strong bottom should enable the cable to rebound temporary. The 200 SMA is slightly bearish and the MACD indicator is entering the negative territory.

On the H1 chart, there are some sideways moves between 1.5166 and 1.5103, where bears are getting an intraday consolidation. The 200 SMA is approaching the resistance zone of 1.5223 and in case the pair tests that level, it could start to pullback towards new lows, after a breakout below the support level of 1.5103.

Daily chart's resistance levels: 1.5169 / 1.5256

Daily chart's support levels: 1.5030 / 1.4955

H1 chart's resistance levels: 1.5166 / 1.5223

H1 chart's support levels: 1.5103 / 1.5035

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the resistance level is at 1.5103, take profit is at 1.5035, and stop loss is at 1.5176.

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