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Daily analysis of GBP/USD for October 26, 2015

On the H1 chart, there is a pullback in progress from the 200 SMA until the support level of 1.5306, where the GBP/USD pair is expected to find a bottom. A rebound over there will push the pair towards the resistance level of 1.5339, where a breakout can happen for another rally towards the zone 1.5374. The 200 SMA is slightly pointing to the downside. Our short-term outlook remains bullish as long as the pair continues to trade above the level of 1.5264.

GBPUSDH1.png

H1 chart's resistance levels: 1.5339 / 1.5374

H1 chart's support levels: 1.5306 / 1.5264

Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is seen at 1.5339, take profit is at 1.5374, and stop loss is at 1.5305.

The material has been provided by InstaForex Company - www.instaforex.com