GBP/USD:
Strong Resistances: 1.5800 & 1.6100.
According to previous events, the price has still been trapped between 1.5775 and 1.5509 so it is of the wisdom to be careful at this range area around the level 38.2% of Fibonacci retracement levels. Therefore first step is wait for a period of tight sideway range market before breakouts. Then, it will probably that the market is going to start showing the signs of bullish market. In other words, it will be a good sign to buy above the support.3 (1.5515) with a first target of 1.5602 pips and it'll climb towards the first resistance. However, If the the pair could not break this resistance, hence the market will indicate a bearish opportunity below 1.58 (It should be noted that the 50% of Fibonacci retracement levels is 1.5796) then the level is going to act really as strong resistance, for that it will be a good sign to sell below 1.58 with a first target of 1.5650 and it is going to call for downtrend in order to continue a bearish market towards 1.5525.
R3: 1.5872
R2: 1.5813
R1: 1.5753
PP: 1.5694
S1: 1.5634
S2: 1.5575
S3: 1.5515
Range I – A long-term mean reversion strategy that looks to go against strong divergence from the pair’s average value. It will typically hold trades for an extended period of time and is one of the slower moving trading strategies.
Range II– Like Breakout 2, uses sentiment as a filter for its trades. It will use a simple oscillator range trading strategy but only take the trading signals if SSI is not at extremes. It is fairly short-term in nature and will tend to trade very little during times of strong trending moves. It is likewise one of the most volatility-sensitive trading systems and will tend to do poorly during times of sharp currency moves.
Please check out the market volatility before investing, because the sight price may have already been reached and scenarios become invalidate.
Stop Loss should NEVER exceed your maximum exposure amounts.