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Weekly Forex Signals

13

0

Sterling hits 13−years low on UK rate cut view

Mon, Nov 17 2008, 11:09 GMT
by Benny Menashe

Finotec Group Inc.


Long signalShort signal
Buy a break of resistance level at 1.4990Sell a break of support level at 1.4650
GBP/USDBuy a break of resistance level at 1.5075Sell a break of support level at 1.4560
Buy a bounce at 1.4650Sell a failure of breaking the resistance 1.4990


Fundamental

Leaders of the world's biggest developed and emerging nations put banks and investors on notice they will need to hold more capital and reveal more about their holdings, signaling the industry may emerge from the current crisis with less potential for profit.
President George W. Bush and his counterparts from the Group of 20 blamed a looming global recession on imprudent investors who “sought higher yields without an adequate appreciation of the risks.” Supervisors who failed to address the dangers building in markets were also at fault, the group said in its statement after meeting Nov. 15 in Washington.


Technical

Sterling still in a downtrend as we can see strong supply in the market, based on technical indicators like RSI, which is in a downtrend and giving us a clear bearish signal, MACD crosses the signal line and is pointing downwards. Bollinger gives us a selling signal by closing the candle below the middle band.

GBP/USD (Daily Chart)

The primary tendency moving between the standard error channel.

Daily Chart

GBP/USD (4 Hour Chart)

The pair breaks Fibonacci fan first level.

Hour Chart

GBP/USD (Hourly Chart)

The Minor trend shows us a clear downtrend.

Hourly Chart

Resistance
1.4990
1.5075

Support
1.4650
1.4560


Archive

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http://www.finotec.com/ | support@finotec.com

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FINOTEC Trading’s Market Commentaries are provided for informational purposes only. The information contained within these reports is gathered from reputable news sources and not intended as investment advice. FINOTEC Trading assumes no responsibility or liability from gains or losses incurred by the information herein.

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