14.10.201500:31 Forex Analysis & Reviews: Daily analysis of GBP/USD for October 14, 2015

Long-term review

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GBP/USD had a bearish session yesterday. The pair is looking to break the support level of 1.5256, and that would open the door to test the level of 1.5182. On the other hand, the cable is trying to perform a rebound at a current stage to do a rally towards the resistance level of 1.5381 in coming days.

On the H1 chart, the cable is doing a consolidation below the 200 SMA with a lower low pattern. The support level of 1.5223 is currently offering a strong demand zone, which could contain an advance of bears in a short-term basis. By the way, we expect another little rally above that moving average before declines take place.

Daily chart's resistance levels: 1.5325 / 1.5381

Daily chart's support levels: 1.5256 / 1.5182

H1 chart's resistance levels: 1.5285 / 1.5342

H1 chart's support levels: 1.5223 / 1.5167

Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.5285, take profit is at 1.5342, and stop loss is at 1.5227.

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