FX.co ★ Technical analysis of GBP/USD for July 28, 2014

Trading recommendations:

• According to the previous events, the GBP/USD pair is going to move between the level of 1.7003 and 1.6717. The resistance is set at the level of 1.7015. Consequently, the market will indicate a bearish opportunity below the price of 1.7015, because the spot of 1.7015 -1.7000 is going to act as strong resistance on July 28, 2014. Accordingly, it will be a good sign to sell below this level today with the first target of 1.6945 in order to test the weekly support 1 in H1 chart. Also, it should be noted that the price 1.6945 coincides with the ratio of 50% Fibonacci retracement levels. Moreover, if the trend succeeds to close below 1.6945, then the market will continue in the downtrend below the weekly support 1 towards the level of 1.6905. On the other hands, the stop loss should be placed above 1.7020 at the price of 1.7045.