GBP/USD Bulls Fail To Retain Previous Day Gains – Another Closing Below 1.3800 is on the Cards

#OPINIONLEADER# #Signal#

ByLCMS Traders FX Analysis Team

 AUG 17, 2021

GBP/USD Daily Forecast

GBP/USD is trading 0.25% lower to 1.3804 following yesterday’s rally towards 1.3884 which acted as a strong resistance area for the bulls. The pair is once again back into the bearish channel with immediate support levels at 1.3800 and 1.3772. The intraday resistance levels are at 1.3833 and 1.3864.

On the intraday charts, both the SMA-14 and SMA-50 are indicating resistance at 1.3871. The RSI is at 45 and has a clear downwards curve while the MACD is below the middle line and also indicating a bearish trajectory. The current price is also keeping below the mid-Bollinger band which is at 1.3850 while the upper and lower bands are at 1.3976 and 1.3726 respectively. Currently, the intraday pattern does not suggest a bigger downwards move however, bears are likely to test the 1.3750 support area which favors selling entries using the following levels.

Direction: Sell

Entry: 1.3820

Take Profit: 1.3780 – 1.3760

Stop-Loss: 1.3870