For Traders

Analytical Reviews

Technical analysis

09.01.201711:24 Forex Analysis & Reviews: Technical analysis of GBP/USD for January 09, 2017

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.

Overview:

The GBP/USD pair continues to move downwards from the level of 1.2315, which represents the double top on the daily chart. Last week, the pair dropped from the level of 1.2315 to the bottom around 1.2175. Today, the first resistance level is seen at 1.2206 followed by 1.2315, while daily support is seen at the levels of 1.2118 and 1.2031. According to the previous events, the GBP/USD pair is still moving between the levels of 1.2206 and 1.2031 in coming hours. The first resistance stands at 1.2206, for that if the GBP/USD pair fails to break through the resistance level of 1.2206, the market will decline further to 1.2118. This would suggest a bearish market because the RSI indicator is still in a negative area and does not show any trend-reversal signs. The pair is expected to drop lower towards at least 1.2050 in order to test the second support (1.2031). On the contrary, if a breakout takes place at the resistance level of 1.2315(the double top), then this scenario may become invalidated resistance of 1.2315.

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.