Intraday technical levels and trading recommendations for GBP/USD for October 10, 2018
October 10, 2018 2:22 pm
On September 13, the depicted daily downtrend line which came to meet the pair around 1.3025-1.3090 failed to offer enough bearish pressure on the pair. Since then, the GBP/USD pair has been demonstrating a successful bullish breakout so far.
On September 21, the GBP/USD pair failed to demonstrate sufficient bullish momentum above 1.3296. The short-term outlook turned to bearish within the depicted H4 bearish channel to test the backside of the broken uptrend.
Recently, the price level of 1.2900-1.2940 (the backside of the broken uptrend) demonstrated significant bullish recovery which led to the recent bullish breakout of the depicted H4 channel.
As for the bullish breakout scenario to remain valid, the price level of 1.3090 (61.8% Fibo level) should provide significant bullish demand for the GBP/USD pair, so that a further bullish advance can occur towards 1.3210 and 1.3290.
On the other hand, bullish persistence above 1.3200 (SELL-ZONE) is needed to maintain sufficient bullish momentum. Otherwise, the pair would remain trapped between 1.3200 and 1.3090.
Any bearish breakdown below 1.3090 invalidates the bullish breakout scenario allowing further bearish decline towards 1.3010 and probably 1.2910 (previous weekly low).
The material has been provided by InstaForex Company – www.instaforex.com
On September 13, the depicted daily downtrend line which came to meet the pair around 1.3025-1.3090 failed to offer enough bearish pressure on the pair. Since then, the GBP/USD pair has been demonstrating a successful bullish breakout so far.
On September 21, the GBP/USD pair failed to demonstrate sufficient bullish momentum above 1.3296. The short-term outlook turned to bearish within the depicted H4 bearish channel to test the backside of the broken uptrend.
Recently, the price level of 1.2900-1.2940 (the backside of the broken uptrend) demonstrated significant bullish recovery which led to the recent bullish breakout of the depicted H4 channel.
As for the bullish breakout scenario to remain valid, the price level of 1.3090 (61.8% Fibo level) should provide significant bullish demand for the GBP/USD pair, so that a further bullish advance can occur towards 1.3210 and 1.3290.
On the other hand, bullish persistence above 1.3200 (SELL-ZONE) is needed to maintain sufficient bullish momentum. Otherwise, the pair would remain trapped between 1.3200 and 1.3090.
Any bearish breakdown below 1.3090 invalidates the bullish breakout scenario allowing further bearish decline towards 1.3010 and probably 1.2910 (previous weekly low).
The material has been provided by InstaForex Company – www.instaforex.com
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