In the last market update, we looked at the bigger GBP/USD timeframe chart. We can see that it is headed higher towards the 200 daily SMA which stands around 100+ pips. In the meantime, let’s have a look at the smaller timeframe charts to see if we can pull a trade or two on the way to the 200 SMA.     

Resistance                                                                      Support

1 – 1.3150-60 (Mild – Previous resistance)                      1 – 1.31 (Strong – Big round number)

2 – 1.3180 (Medium – Buffer zone for 1.32)                     2 – 1.3080 (Medium – 50 SMA on the H1 chart)

3 – 1.32 (Strong – Big round number)                             3 – 1.3050 (Mild – Previous resistance)

4 – 1.3250-60 (Strong – Line in the sand)                        4 – 1.30 (Strong – Big round number)

Today is another upward day for this forex pair, so logically we want to look for dips. The support levels together with moving averages will provide some nice buying spots, so the first and the safest place I’ll be looking to buy today would be around 1.31.