Technical analysis of GBP/USD for February 13, 2014

Overview:

• The GBP/USD pair movement will be continued directly from the level of 1.6483 (61.8% of Fibonacci retracement levels) in H1 chart. Moreover, this level was confirmed by the bullish market yesterday. Additionally, the price of the GBP/USD pair has been showing an upward trend at the same price which represents the weekly resistance 1. Therefore, the market will indicate the bullish opportunity at the level of 1.6483. Also, it should be noted that the weekly resistance 1 became the support on February 13, 2014. Accordingly, it will be a good sign to buy at 1.6483 (in the short term) with the first target of 1.6580 and further to 1.6624 in order to form double top in H1 chart.
• Furthermore, it also should be noted that this level of taking profit will coincide with the ratio of 100% Fibonacci retracement levels, for that it is going to be a good place to take profit. On the other hand, the stop loss should be placed below 1.6500 at the price of 1.6450.

The material has been provided by InstaForex Company – www.instaforex.com