Daily chart: GBP/USD finished to form the lower high pattern, and now this pair is trying to break the resistance at 1.5407. If it succeeds, this pair could rise to the resistance level at 1.5523, which is the average 200 moving. Furthermore, there is a possibility that GBP/USD will make a bearish rebound on this resistance and fall back to the support at the level of 1.5266. For now, we can predict that GBP/USD may break this resistance and up to the level of 1.5523, which is feasible due to the bullish force that his pair has had, in recent sessions. The MACD indicator is in a positive territory, supporting a bullish outlook on this pair.
H4 chart: GBP/USD is about to break the resistance level at 1.5411. If successful, this pair could rise to the level of 1.5604, in the medium term. We should note that in this chart, GBP/USD remains above the 200 day moving average, indicating that it is advisable to place buy orders on this pair. To follow the trend of this pair, we must look to a bullish pattern to make good trading in the Cable. It is not advisable to put sell orders now. The MACD indicator is in a positive territory, but it is approaching the overbought levels, which could indicate that, perhaps, this pair will fall to support at the 1.5341 level, but we must be careful when placing orders against the trend.
H1 chart: The Point of Control (POC) near the support at the 1.5296 level has strengthened thanks to the bullish rally this pair had in yesterday's session. GBP/USD is forming a lower high pattern, below the resistance level of 1.5406. If GBP/USD manages to break that resistance, it would be expected to rise to the level of 1.5460. On the other hand, if GBP/USD makes a bearish rebound in that level and fall to the support at the level of 1.5351, it is expected to drop to the level of 1.5296, where the Point Of Control is. In this chart, just like in the H4 chart, the Cable stays above the 200 day moving average, which supports our bullish outlook on this pair. However, the MACD indicator is in the overbought area, and it is trying to get into a negative territory, so we must be careful with this pair in intraday trading.
Fundamental outlook: For today's session, the Asset Purchase Facility (Previous: 375B / Forecast: 375B) and the BOE Official Rate (Previous: 0.50% / Forecast: 0.50% ) will be published in the UK at 11:00 GMT. In the United States, the Unemployment Claims (Previous: 354K / Forecast: 345K) will be published at 12:30 GMT.
Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the GBP/USD pair breaks with a bullish candlestick, the resistance level is at 1.5406, take profit is at 1.5460, and stop loss is at 1.5358. Place sell (short) orders only if GBP/USD breaks with a bearish candlestick, the support level is at 1.5351, take profit is at 1.5296, and stop loss is at 1.5406.