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Daily analysis of GBP/USD for June 17, 2016

Yesterday was a very volatile day for USD pairs, and GBP/USD did a false breakout around the psychological level of 1.4100. Currently, it's hovering at the 1.4200 price zone, after it found strong resistance at the 1.4247 level. The price action is still favoring for downside, as the 200 SMA is still above, but the sideways trend is in place, and we could see some irregular moves during today's session, so it's not highly advisable to trade it at this stage.

GBPUSDH1.png

H1 chart's resistance levels: 1.4247 / 1.4327

H1 chart's support levels: 1.4171 / 1.4100

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 1.4171, take profit is at 1.4100 and stop loss is at 1.4247.

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