Pound took another dive against the greenback after the release of UK Retail Sales: the numbers misses expectations, with YoY reading down to 2.7%, and MoM down to -0.3%. The GBP/USD felt as low as 1.5998 so far today, stalling a couple pips above the 61.8% retracement of its latest daily rally, maintaining an overall weak tone.
The 4 hours chart shows price consolidating a few pips above mentioned level, with indicators heading strongly south below their midlines and 20 SMA turning lower around the 23.6% retracement of the same rally at 1.6108. A downward acceleration below 1.5995, 61.8% retracement, should trigger stops and fuel the slide, pointing for a test of 1.5940/50 where the pair presents several intraday lows. Gains above 1.6030, should bring some short term relief, and price may then attempt to advance up to 1.6060/70 price zone.
View Live Chart for GBP/USD
The 4 hours chart shows price consolidating a few pips above mentioned level, with indicators heading strongly south below their midlines and 20 SMA turning lower around the 23.6% retracement of the same rally at 1.6108. A downward acceleration below 1.5995, 61.8% retracement, should trigger stops and fuel the slide, pointing for a test of 1.5940/50 where the pair presents several intraday lows. Gains above 1.6030, should bring some short term relief, and price may then attempt to advance up to 1.6060/70 price zone.
View Live Chart for GBP/USD
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