FX.co ★ Technical analysis of GBP/USD for December 26, 2014

Overview:

• According to the previous events, the price of the GBP/USD pair will probably move between the levels of 1.5590 and 1.5511. The resistance has already set at the level of 1.5600 which coincides with the ratio of 38.2% Fibonacci retracement levels. Additionally, it should be noted that if the trend is ascending, then the strength of the currency will be defined as follows: GBP is in an uptrend and USD is in a downtrend. Therefore, it will be of the insight to sell in this area (1.5600) with the first target at 1.5520 in order to try to break the weekly support one, then the price will be able to continue in a downtrend towards 1.5485 (a double bottom is going to be formed at the level of 1.5485 on H1 chart). However, the stop loss should be placed above the resistance of 1.5600.
  

Intraday technical levels:

Date: 26/12/2014

Pair: EUR/USD

• R3: 1.5712
• R2: 1.5660
• R1: 1.5589
• PP: 1.5537
• S1: 1.5466
• S2: 1.5414
• S3: 1.5343