The GBPUSD rejected heavily from 1.4990-1.5000 zone which was a both psychological and historical support, closing above 1.5110 on intraday time frames. However, lower than expected manufacturing UK data tank the pair immediately towards daily PP zone (1.5067) and we see that the pair is still dropping.
Technically we have a very strong POC in the 1.5150-70 zone ( E89, X-cross, 50.0, historical sellers/bearish order block). There is also a bullish divergence which helped the pair to rally up. So in the context of intraweek swing a rejection from POC zone should target 1.4960-50. For that target zone we need 1.4990 to break as the next retest-continuation below 1.4990 will target 1.4960-50. That could also be a breakout setup.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
Recommended Content
Editors’ Picks
EUR/USD turns negative near 1.0760
The sudden bout of strength in the Greenback sponsored the resurgence of the selling pressure in the risk complex, dragging EUR/USD to the area of daily lows near 1.0760.
GBP/USD comes under pressure and challenges 1.2500
GBP/USD now rapidly loses momentum and gives away initial gains, returning to the 1.2500 region on the back of the strong comeback of the US Dollar.
Gold retreats from highs on stronger Dollar, yields
XAU/USD trims part of its initial advance in response to the jump in the Dollar's buying interest and the re-emergence of the upside pressure in US yields.
XRP tests support at $0.50 as Ripple joins alliance to work on blockchain recovery
XRP trades around $0.5174 early on Friday, wiping out gains from earlier in the week, as Ripple announced it has joined an alliance to support digital asset recovery alongside Hedera and the Algorand Foundation.
Week ahead – US inflation numbers to shake Fed rate cut bets
Fed rate-cut speculators rest hopes on US inflation data. After dovish BoE, pound traders turn to UK job numbers. Will a strong labor market convince the RBA to hike? More Chinese data on tap amid signs of slow Q2 start.