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Daily analysis of GBP/USD for July 20, 2016

The pair had a bearish session, and it's consolidating losses below the level of 1.3148. Currently, another decline is expected towards the 1.3000 level, where a psychological barrier is located. GBP/USD is trading below the 200 SMA on the H1 chart, and that's why we would like to see further weakness. However, a breakout above the 1.3148 level will drive the pair to the 1.3300 level.

GBPUSDH1.png

H1 chart's resistance levels: 1.3148 / 1.3300

H1 chart's support levels: 1.3001 / 1.2880

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 1.3148, take profit is at 1.3300 and stop loss is at 1.2994.

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