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Daily analysis of GBP/USD for January 17, 2018

GBP/USD remains to consolidate the price action below the 1.3800 mark and it seems we could expect a pullback in order to test the 200 SMA at the H1 chart. Around that area, a rebound is likely to happen in order to resume the bullish bias towards the 1.3846 level. However, to the downside, if the pair does a breakout of the moving average, then the next target would be the 1.3526 level.

GBPUSDH1.png

H1 chart's resistance levels: 1.3846 / 1.3979

H1 chart's support levels: 1.3612 / 1.3526

Trading recommendations for today: Based on the H1 chart, buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.3846589, take profit is at 1.3979 and stop loss is at 1.3714.

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