GBP/USD technical analysis for July 5, 2013
Resistance: 1.5140. (Sell below this level).
Support: 1.5000. (Buy above this level).
According to previous events, the price has been trapped between 1.5115 and 1.5070, hence it is of the wisdom to be careful in this area. Therefore, the first step is waiting for a period of a tight sideways range market before breakouts. Then, it is probable that the market is going to start showing the bullish signs. In other words, it will be a good sign to buy above 1.4992 with the first target of 1.5060 and it will climb towards 1.5140. However, if the pair fails to break 1.5140, the market will indicate a bearish opportunity below 1.5140, then the level will act really as strong resistance; that it will be a good sign to sell below 1.5140 with the first target of 1.5555 and it will call for downtrend in order to continue bearish move towards 1.5009 (00% Fibonacci retracement levels), the level of 1.5009 will form a double bottom.
The material has been provided by InstaForex Company – www.instaforex.com