GBP/USD initially rebounded strongly towards 1.4600 earlier in mid European session. However, the pair turned back after failing to break resistance level located at 1.4600, as the pound ran out of strength against US dollar.
- The pair has to break resistance level at 1.4600 levels in order find any bullish momentum, unless until trend continues to be strongly bearish for this pair.
- To the upside, the strong resistance can be seen at 1.4600, a break above this level would expose the cable to next resistance level at 1.4643.
- To the downside immediate support can be seen at 1.4545, a break below at this level will open the door towards next level at 1.4505.
Recommendation: Go short below 1.4600, targets 1.4540, 1.4390, SL 1.4650
Resistance Levels
R1: 1.4573 (50% Retracement level)
R2: 1.4600 (61.8% Retracement level)
R3: 1.5643 (Jan 8th high)
Support Levels
S1: 1.4545 (38.2% Retracement level)
S2: 1.4505 (23.6% Retracement level)
S3: 1.4443
