Intraday trading recommendations:
GBP/USD:
According to the previous events, the price has still been trapped between 1.6000 and 1.6075. The level of 1.6000 will indicate strong support. Moreover, the price will form a double bottom at the level of 1.6000. Therefore, it will be wise to buy at 1.6 with the first target at 1.6082 (the weekly resistance 1), then it will continue towards 1.6122. The stop loss should be placed below 1.5970. It should be noted that the level of 1.6225 will form a strong resistance for October 17 - 18, 2013, hence it is recommended to take profit below this level (1.6222).
Intraday technical levels:
Date & Time: 17/10/2013 12:38
Pair: GBP/USD
R3: 1,6217 R2: 1,6140 R1: 1,6050 PP: 1,5973 S1: 1,5883 S2: 1,5806 S3: 1,5716
Notes:
Range:167pips Risk of 167pips must make a profit of 250.50 Volatility: 266.86 therefore the market indicates the higher volatility. Volatility Formula: Variation = Average * (Higher - Lower)