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Daily analysis of GBP/USD for May 18, 2016

The pair had a bullish session yesterday, as we can see a gain's consolidation above the 200 SMA on the H1 chart, which hovers around the support zone of 1.4430. A resistance can be found at the 1.4549 level, and if the Cable succeeds in breaking it to the upside, then we should see the bulls' force pushing it toward the 1.4622 level. However, the MACD indicator is still supporting a bearish outlook.

GBPUSDH1.png

H1 chart's resistance levels: 1.4549 / 1.4622

H1 chart's support levels: 1.4430 / 1.4316

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 1.4430, take profit is at 1.4316 and stop loss is at 1.4545.

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