GBP/USD analysis for December 26, 2017

Recently, the GBP/USD has been trading sideways at the price of 1.3360. According to the 4H time - frame, I found that price is trading inside of descending triangle, which is a sign that buying looks risky. I also found a broken upward trendline, which is another sign of weakness. My advice is to watch for potential selling opportunities. The downward targets are set at the price of 1.3300 (key support) and at the price of 1.3075. The breakout of the level 1.3300, will confirm testing of the second target at the price of 1.3075.

Resistance levels:

R1: 1.3390

R2: 1.3420

R3: 1.3440

Support levels:

S1: 1.3340

S2: 1.3320

S3: 1.3290

Trading recommendations for today: watch for potential selling opportunities.