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Daily analysis of GBP/USD for January 06, 2016

Our current view of H1 chart is still calling for more declines towards the support level of 1.4608, because overall structure shows some bearish patterns aligned with the fractals to the downside. 200 SMA is slightly bearish and that's why a breakout below the 1.4608 level will open the doors to test the 1.4464 low level. MACD indicator is at positive territory.

1452031210_GBPUSDH1.png

H1 chart's resistance levels: 1.4702 / 1.4802

H1 chart's support levels: 1.4608 / 1.4464

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 1.4608, take profit is at 1.4464, and stop loss is at 1.4755.

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