We should note that during the last Friday session a double top pattern was formed and after it we saw a huge decline towards the
support level of 1.4198. That move told us that the bearish bias has
been resumed in a short-term basis. A breakout below the level of 1.4198 will expose the cable towards 1.4098, where a key
inflection area was formed during the session on January 21. The MACD
indicator is reaching an oversold condition and we may see some
rebounds in coming hours.
H1 chart’s resistance
levels: 1.4309 / 1.4373
H1 chart’s support levels:
1.4198 / 1.4098
Trading recommendations for today: Based on the H1 chart,
place sell (short) orders only if the GBP/USD pair breaks a bearish
candlestick; the support level is found at 1.4198, take profit is at
1.4098, and stop loss is at 1.4298.
The material has been provided by InstaForex Company – www.instaforex.com