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Daily analysis of GBP/USD for April 21 2016

On the H1 chart, the resistance zone of 1.4401 remains very strong and is pushing the Cable lower, as it has been trading into a bearish mode and maybe it could re-test the 200 SMA on a short-term basis. If the pair does a breakout above it, then it can rally toward the 1.4495 price zone. The MACD indicator is supporting a possible resume of the bearish bias.

GBPUSDH1.png

H1 chart's resistance levels: 1.4401 / 1.4495

H1 chart's support levels: 1.4318 / 1.4278

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 at 1.4401, take profit is at 1.4495 and stop loss is at 1.4303.

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