GBPUSD – Directionless trading extends
|GBPUSD
Cable remains within narrow range and holds in directionless mode for two weeks, lacking stronger direction signal. Thursday's recovery attempts probed above 200SMA (1.3556) which marks pivotal barrier, but failed to close above and generate bullish signal. Today's action is capped by sideways moving 10SMA (1.3526) but neutral momentum and RSI keep today's action within tight range. The pair looks for a catalyst which could be provided by major news, to eventually break out of two-week congestion and signal fresh direction. Bearish scenario requires firm break below range floor (1.3450) and nearby Fibo support at 1.3442 (38.2% of 1.1930/1.4376) to signal continuation of downtrend from 1.4376 (post-Brexit recovery peak). Conversely lift and close above 200SMA would generate initial bullish signal, but confirmation of reversal needs sustained break above range floor (1.3617) and falling 20SMA (1.3642).
Res: 1.3526; 1.3556; 1.3570; 1.3617
Sup: 1.3500; 1.3474; 1.3450; 1.3442
Interested in GBPUSD technicals? Check out the key levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.