GBPUSD draws new positive formation – Analysis - 18-07-2016

The GBPUSD pair bounced strongly to the downside after approaching from 1.3500 level, to settle around the EMA50 that forms good support base to protect the price from suffering more losses, pushing the price to move above 1.3225.

On the other hand, we notice that the price draws new bullish pattern that its confirmation line located at 1.3470, thus, breaching this level will provide strong positive motive that supports achieving gains that surpass 1.3834 barrier to reach 1.4165.

Stochastic provides positive signals now, which provides positive factor that we are waiting to assist the price to complete the mentioned pattern, therefore, we expect the domination of the bullish trend on the upcoming trading, unless breaking 1.3090 level and holding below.

Expected trading range for today is between 1.3090 support and 1.3500 resistance.

Expected trend for today: Bullish