FX.co ★ GBP/USD intraday technical analysis and trading recommendations for August 14, 2013

Strong bullish sentiment was expected to be found off the support zone around 1.4830 which pushed the pair to the upside reaching 50% Fibonacci level around 1.5275 then 1.5400 corresponding to 61.8% Fibonacci level.

The bearish rebound took place beyond 1.5400 followed by confirmation of the double-bottom pattern with a projection target near 1.5100 where an ascending buttom was established on August 1.

Now there are prominent established ascending bottoms around 1.5100, 1.5200, and 1.5420. Moreover, there is a bullish breakout above 1.5400 which cleared the way towards 1.5565 last week.

A valid BUY entry may be taken at retesting of 61.8% Fibonacci around 1.5380-1.5400 with SL located below 1.5290.

We need to see obvious closure of 4H above 1.5560 to remain bullish towards 1.5650 in the short term prospect.

4H breakdown of 1.5380 probably opens the way directly towards 1.5300.