Technical analysis of GBP/USD for February 21, 2014

Overview:

• It should be noted that the price of the GBP/USD pair was not stable because the trend has been moving between 1.6630 and 1.6710 since February 17, 2014. Accordingly, it is of the wisdom to be careful in this area. So, the first step is waiting in this spot before investing. As a result, it will probably be that the GBP/USD pair is going to start showing the signs of bullish market at the level of 1.6555. In other words, it will be a good sign to buy above the price of 1.6555 with the first target of 1.6628 in order to test the weekly pivot point and it will call for uptrend to continue its bullish movement towards 1.6822 for forming double top in H1 chart. However, If the pair could not break 1.6822. Consequently, the market will indicate a bearish opportunity at the spot of 1.6830. Thus, the level will be acted as strong resistance on February 21, 2014. for that, it is providing a clear signal for sell deals with the target seen at 1.6766. On the other hand, the stop loss should be placed above 1.6873.

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