FX.co ★ GBP/USD: technical analysis for October 17, 2013

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)