Weekly technical levels of GBP/USD for August 11-15, 2014

The weekly technical levels of GBP/USD pair.

If there is no significant news to influence, the market price will be moving from pivot point to resistance 1 or support 1. But if there is significant news to influence, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2 and even resistance 3 or support 3. If the trend is upward, then the strength of the currency will be defined as follows: EUR is in an uptrend and USD is in a downtrend. Fibonacci retracement is used to determine accurate psychological levels of support and resistance. The period of time should be taken into account. Fibonacci is in a range trade; it looks like the trend is trapped and going up or down. If you sell or buy in the long term, you will surely lose your profit.

Observations:

According to the previous events, the GBP/USD pair is going to move between 1.6766 and 1.6809 today. It should be noted that the level of 1.6766 represents the double bottom and the weekly pivot point is placed at the price of 1.6809. The resistance will be set at the level of 1.6851 this week. The support has already been placed at the price of 1.6730. We expect a new range about 125 - 140 pips this week. The key level will be set at the level of 1.6850.