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Analysis of GBP/USD for December 07, 2017

analytics5a293fb8bf973.png

Recently, GBP/USD has been trading downwards. The price tested the level of 1.3319. Anyway, according to the 1H timeframe, I found a strong rejection from the lower diagonal of the downward channel, which is a sign that selling looks risky. I also found a hidden bullish divergence on the moving average oscillator, which is another sign of strength. My advice is to watch for potential buying opportunities. The upward targets are set at the price of 1.3422 and 1.3540.

Resistance levels:

R1: 1.3436

R2: 1.3485

R3: 1.3525

Support levels:

S1: 1.3350

S2: 1.3312

S3: 1.3267

Trading recommendations for today: watch for potential buying opportunities.

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