Weekly technical levels:
The movement of pivot point between resistance and support levels.
If price at pivot point (1,6713), watch for a move back to resistance 1 (1,6785) or support 1 (1,6640). If price at resistance 1 (1,6785), expect for a move to resistance 2 (1,6858) or back towards pivot point (1,6713). If price at support 1 (1,6640), expect for a move to support 2 (1,6568)or back towards resistance 1 (1,6785). If price at support 2 (1,6568), expect for a move to support 3 (1,6930)or back towards support 1 (1,6640). If price at resistance 2 (1,6858), expect for a move to resistance 3 (1,6930) or back towards resistance 1 (1,6785). It should note if there is no significant news to influence, the market price will be moving from pivot point to resistance 1 (1,6785) or support 1 (1,6640). But if there is significant news to influence, the market price may go straight through resistance 1 (1,6785) or support 1 (1,6640) and reaches resistance 2 (1,6858) or support 2 (1,6568) and even resistance 3 (1,6930) or support 3 (1,6495).Observations:
If the trend is upward, then the strength of the currency will be defined as following: GBP is in an uptrend and USD is in a downtrend. Fibonacci retracement is used to determine accurate psychological levels of support and resistance. The period of time should be taken into account. Fibonacci is in a range trade; it looks like the trend is trapping and going up or down. If you sell or buy in the long term in this period, you will surely lose your profit. Stop loss should never exceed your maximum exposure amounts. As a rule, the market is highly volatile if the last day had huge volatility.Notes:
Major support for March 10-14, 2014: 1.6570 Major resistance for March 10-14, 2014: 1.6853 We expect a new range about 195 pips.