FX.co ★ Technical analysis of GBP/USD for August 4-7, 2015

Review:

• GBP/USD: The price of 1.5566 coincides with the ratio of 38.2% Fibonacci retracement levels. The minor support has set at the level of 1.5566. Thus, we expect a short bullish market from the level of 1.5566 on the H1 chart. Therefore, the market is going to call for an uptrend from the level of 1.5666. Hence, buy above the level of 1.5566 in the short term with the first target of 1.5546, if the trend can break the minor resistance at the level of 1.5546, it might resume to 1.5712.

Observations:

• We expect a range about 201 pips (1.5512 - 1.5713) in coming days.
• The weekly support 1 will set at 1.5513.
• The risk of 67 pips must make a profit of 201 pips.
• The value of 61.8% Fibonacci retracement levels is 1.5613.
• The weekly pivot point will be set at the price of 1.5601.
• The level of 1.5620 will confirm the bullish market.
• It should be noted that the weekly range was not very large for the last four weeks (around 199 pips only). According to our statistics, it was found out that the range was between 310 pips and 200 pips and the average range was around 252 pips.
• Volatility was 310,23 as usually the market is highly volatile if the last day has a huge volatility.

The weekly tchnical analysis of GBP/USD pair: