The weekly technical levels for EUR/USD pair.
Overview :
- The price of the GBP/USD pair has been still trapped between the levels of 1.4860 and 1.4583. The level of 1.4860 is representing the weekly pivot point. It should be noted that the weekly pivot point is coinciding with the ratio of 38.2% Fibonacci retracement levels on the H1 chart. Moreover, the pair will probably go down because the downward trend is still strong since the last week. So, sell below the level of 1.4860 in the long term with the first target at 1.4699 in order to test the double bottom. If the trend can break the double bottom at 1.4699, it might resume to 1.4583 (the support 1). On the other hand, the stop loss should never exceed your maximum exposure amounts. Thus, it is going to be too profitable to set your stop loss at the level of 1.4885.
Observations :
- Major support has been set at the level of 1.4583.
- Major resistance has been already placed at 1.4866.
- We expect a new range about 325 pips this week.
- If a trend is upward, the strength of the currency will be defined as follows: GBP is in an uptrend and USD is in a downtrend.
- Fibonacci retracement is used to determine accurate psychological levels of support and resistance. The period of time should be taken into account.
- Fibonacci is in a range trade; it looks like the trend is trapped moving up or down. If you sell or buy in the long term, you will surely lose your profit.
The material has been provided by InstaForex Company - www.instaforex.com
