FX.co ★ Daily analysis of GBP/USD for July 24, 2015

On the daily chart, GBP/USD took a mid-term bearish path. It is trying to consolidate below the 1.5543 level now and it could look for the support zone of 1.5450 in next week. Also, we expect some downside moves to hold below the support level of 1.5450, only if the pair gets favored by this bias during the next week.

The pair is trying to reach a lower low below the resistance level of 1.5524 and 200 SMA on the H1 chart. That's why we should look for more downside moves in coming hours, but be cautious anyway, as GBP/USD failed to break the support zone of 1.5472, which is an important level in this trend development.

Daily chart's resistance levels: 1.5543 / 1.5640

Daily chart's support levels: 1.5450 / 1.5332

H1 chart's resistance levels: 1.5524 / 1.5596

H1 chart's support levels: 1.5502 / 1.5472

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.5502, take profit is at 1.5472, and stop loss is at 1.5533.