Daily Technical Outlook & Trading GBP/USD

ANALYSIS | 07/26/2016 08:55:35 GMT

gbp DAILY GBP/USD TECHNICAL OUTLOOK
Last Update At 26 Jul 2016 00:24GMT

Trend Daily Chart
Sideways

Daily Indicators
Turning up

21 HR EMA
1.3124

55 HR EMA
1.3141

Trend Hourly Chart
Sideways

Hourly Indicators
Falling

13 HR RSI
37

14 HR DMI
-ve

Daily Analysis
Consolidation b4 one more fall

Resistance
1.3292 - Last Fri's high
1.3217 - Last Fri's Asian low (now sup)
1.3165 - Y'day's low

Support
1.3065 - Last Wed's low
1.3035 - 61.8% proj. of 1.3481-1.3065 fm 1.3292
1.2973 - Jul 12 low

GBP/USD - 1.3090.. The British pound opened flat in N. Zealand Mon n rose to 1.3158 in Aust., despite intra-day sideways move, price climbed to 13165 in Europe b4 tumbling to 1.3095 in NY. Cable bounced to 1.3144 b4 falling again.
On the daily chart 1st, despite cable's resumption of LT downtrend to a fresh 31-year trough of 1.2798 in Jul in the aftermath of a surprise 'Brexit' vote, subsequent rebound to 1.3481 signals temporary low has been formed, how- ever, weakness to 1.3065 last week suggests correction is possibly over n consolidation with downside bias remains for decline to 1.2923/28 this week, below 1.2851 sup is needed to retain bearishness for re-test of 1.2798, then one more fall to 1.2500. Therefore, selling cable again on recovery for 1.2970/80 1st is recommended n only a daily close abv 1.3316 may risk gain twd 1.3470/80.
Today, cable's intra-day anticipated weakness suggests re-test of last week's 1.3065 low is on the cards, however, as hourly indicators would display 'bullish convergences' on such a move, steep fall below 1.3065 is not envisaged n reckon 1.3000/10 would remain intact. We're holding a short position for 1.30 35 n only abv 1.3165 may risk gain twd 1.3200.

Share: Analysis feed

Trendsetter does not warrant or guarantee the accuracy, timeliness or completeness to its service or information contained therein. Trendsetter does not give, whatsoever, warranties, expressed or implied, to the results to be obtained by using its services or information it provided. Users are trading on their own risk and Trendsetter shall not be responsible under any circumstances for the consequences of such activities. Trendsetter and its affiliates, in no event, be liable to users or any third parties for any consequential damages, however arising, including but not limited to damages caused by negligence whether such damages were foreseen or unforeseen.