Daily Analysis of GBP/USD for May 05, 2016
The H1 chart structure is calling for a short-term bearish consolidation below the 200 SMA on the H1 chart, after the pair found resistance around the 1.4549 level. Rebounds can happen in coming hours as the Cable needs to perform bigger corrective moves from the decline held since the May 3rd session. The MACD indicator is in positive territory, supporting a possible bullish correction.
H1 chart's resistance levels: 1.4549 / 1.4633
H1 chart's support levels: 1.4430 / 1.4316
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 1.4549, take profit is at 1.4633 and stop loss is at 1.4465.
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