Trade of the Day: GBP/USD

GBP/USD continues to rise to the key resistance level 1.2177, which was recently identified by Autochartist. Autochartist rates the significance of this resistance level at the 4-bar level – which is the result of the 4 previous reversals from this price level. GBP/USD is expected to rise toward the key resistance level 1.2177.

As can be seen from the daily GBP/USD chart below – the pair earlier reversed up from the support zone located between the major support level 1.2037 (which reversed the pair sharply in March), lower daily Bollinger Band and the support trendline of the daily down channel from August. The proximity of this support zone and the oversold daily Stochastic increase the probability GBP/USD will continue to rise toward the key resistance level 1.2177.