02.10.201500:05 Forex Analysis & Reviews: Technical analysis of GBP/USD for October 2, 2015

Trading recommendations:

• According to the preceding events, the GBP/USD pair has still moved below resistance at 1.5293 and 1.5332. Also, it should be noted that the weekly pivot point sets at 1.5293. Therefore, sell below the level of 1.5293 with the first target at 1.5190 and 1.5106. Then, it will call for downward pressure in order to continue its bearish movement towards 1.5020 in order to test this strong support. At the same time, the stop loss should be placed at the level of 1.5332. On the contrary, if the trend fails to close below the level of 1.5106, it will be very advantageous.

Observations:

• The resistance is seen at the level of 1.5293.
• Support has already been placed at 1.5106.
• We expect a new range about 345 - 370 pips this week.
• The key level is set at 1.5106.
• If there is no significant news to influence, the market price will be moving from the pivot point to resistance 1 or support 1. But, if there is significant news to influence, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2 and even resistance 3 or support 3.