FX.co ★ Daily analysis of GBP/USD for October 24, 2014

At the H4 chart, GBP/USD has made a rebound on the support level of 1.6004, where currently, this pair is forming a bearish pattern. This is an indication that the GBP/USD could continue the bearish trend for several more days, because that support level is very weak. However, it is likely that during today's session, the pair moves in a range. The MACD indicator remains in negative territory.

H4chart's resistance levels: 1.6051 / 1.6226

H4chart's support levels: 1.6040 / 1.5951

The GBP/USD found strong support at the 1.6000 level, although the pair remains below the 200 SMA on the H1 chart. However, GBP/USD may perform a bullish retracement to the resistance level of 1.6075. The MACD indicator remains in positive territory.

H1 chart's resistance levels: 1.6075 / 1.6117

H1 chart's support levels: 1.6031 / 1.5980

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 1.6031, take profit is at 1.5980, and stop loss is at 1.6083.