- GBP/USD surged strongly in European session after UK manufacturing production printed better than expected figures. The cable is currently trading around 1.5300 levels with overbought condition and a pullback towards 1.5280 levels can be expected. The currency pair is set to consolidate above 1.5280 levels and move towards 1.5400 levels, as GPB/USD has found renewed buying interest. Therefore it’s good to buy this pair around 1.5280 levels.
- To the upside, the strong resistance can be seen at 1.5321, a break above this level would expose the cable to next resistance level at 1.5365 levels.
- To the downside immediate support can be seen at 1.5281, a break below at this level will open the door towards next level at 1.52240 levels.Recommendation: Go long above 1.5280, targets 1.5320, 1.5370, SL 1.5230Resistance LevelsR1: 1.5321(Oct 7th high) R2: 1.5365 (Sep 23rd high) R3: 1.5436 (38.2% Retracement level)Support LevelsS1: 1.5281(50% Retracement level) S2: 1.5225 (June 7th lows)S3: 1.5125 (61.8% Retracement level)
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