FX.co ★ Technical analysis of GBP/USD for March 13, 2015

Trading recommendations:

• The market is likely to turn to bearish sentiment from the level of 1.4934 again. Moreover, the daily resistance to the GBP/USD pair is set at the level of 1.4940 in a short term. Therefore, it will be a good sign to sell below 0.14940 with the first target at 1.4850. It will call for downtrend in order to continue its bearish movement towards 1.4790 to form a new double bottom in the H1 chart. Nevertheless, the stop loss should never exceed your maximum exposure amounts; accordingly, the stop loss should be placed above the last bullish wave at the level of 1.5015.

Observations:

• According to the previous events, the GBP/USD pair is going to move between 1.4851 and 1.4934 today.
• It should be noted that the level of 1.4850 represents the double bottom.
• The resistance will be set at the level of 1.5015 this week.
• The support has already been placed at the price of 1.4847.
• We expect a new range about 95 pips today.
• The key level will be set at the level of 1.4900.