DAILY GBP/USD TECHNICAL OUTLOOKLast Update At 28 Jan 2015 00:29GMT
Trend Daily Chart
Down
Daily Indicators
Bullish convergences
21 HR EMA
1.5157
55 HR EMA
1.5110
Trend Hourly Chart
Near term up
Hourly Indicators
Rising
13 HR RSI
59
14 HR DMI
+ve
Daily Analysis
Consolidation with upside bias
Resistance
1.5320 - Jan 05 high
1.5270 - Jan 14 high
1.5235 - Jan 16 high
Support
1.5117 - Y'day's European morning high (now sup)
1.5060 - Y'day's low
1.5045 - Mon's European morning high (now sup)
. GBP/USD - 1.5174... Although cable moved sideways after marginal gain abv Mon's NY high of 1.5103 to 1.5107 in Asia on Tue n then climbed to 1.5117 in European morning, price dipped to 1.5060 after release of downbeat U.K. GDP b4 b4 rallying in tandem with euro to as high as 1.5223 in NY morning b4 easing.
. Looking at the bigger picture, despite last Fri's fall to a fresh 17-mth trough of 1.4952, y'day's rally to 1.5223 confirms MT decline fm 2014 peak at 1.7192 (Jul) to correct the LT rise fm 1.3500 (2009 low in Jan) has finally made a temporary low there as aforesaid low was accompanied by 'bullish convergences' on hourly & daily oscillators, suggesting choppy consolidation with upside bias remains for further subsequent gain. A 'natural' 50% r of intermediate fall fm 1.5621 wud send cable higher twd 1.5286, this is just abv the daily chart res or upside chart obj. at 1.5270. Therefore, buying cable on dips in anticipation of such move is favoured but abv 1.5270 is needed to extend to 1.5320/30.
. Today, in view of abv analysis, buying cable on dips for further corrective up move twd 1.5270 is recommended. On the downside, nly below 1.5060 (Tue's sup in Europe) wud abort near term bullish scenario n risk weakness twd 1.5088.
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