Daily Technical Outlook on Major -GBP/USD

AceTrader Team AceTrader

DAILY GBP/USD TECHNICAL OUTLOOK
Last Update At 17 Apr 2018 00:32GMT

Trend Daily Chart
Up

Daily Indicators
Bearish divergences

21 HR EMA
1.4314

55 HR EMA
1.4276

Trend Hourly Chart
Up

Hourly Indicators
Getting o/bot

13 HR RSI
73

14 HR DMI
+ve

Daily Analysis
Resumption of recent upmove

Resistance
1.4395 - 80.9% proj. of 1.3712-*1.4244 fm 1.3965
1.4371 - 50% proj. of 1.3027-1.4346 fm 1.3712
1.4346 - 2018 18-month high (Jan 25)

Support
1.4297 - Last Fri's high (now sup)
1.4267 - Mon's European morning high (now sup)
1.4221 - Last Fri's low

GBP/USD - 1.4242.. Cable rose fm 1.4232 (NZ) to 1.4266 Mon in Asia Mon b4 easing. Renewed buying at 1.4238 at European open lifted price n the pound later rallied to a high of 1.4345 in NY on usd's weakness n cross-buying in sterling.
Looking at the bigger picture, cable's major ascent fm 2016 31-year bottom at 1.1491 caused by a 'flash crash' on Brexit worries to 1.3659 (Sep 2017) con- firms major trough has been made. Despite rally in Jan after penetrating said res to an 18-month peak at 1.4346, subsequent decline to 1.3765 in early part of Feb n then break of this key sup to 1.3712 at the start of Mar confirms top is made. Having said that, cable's rally last week n subsequent break of Mar's peak at 1.4244 to 1.4338 y'day suggests re-test of Jan's peak at 1.4346 would be seen, break wud extend MT upmove fm 1.1491 to 1.4380/90. Only below 1.4145 indi- cates temporary top has been made n risks retracement twd 1.4080.
Today, cable's rally to 1.4345 suggests a re-test of Jan's peak at 1.4346 would be forthcoming next n abv there would extend upmove to 1.4390/00, however, as hourly oscillators' reading would be in o/bot territory on such move, reckon 1.4440/50 would cap upside. Only below 1.4267 signals temp. top made, 1.4232/35.

Author

AceTrader Team

AceTrader

Led by world-renowned technical analyst Wilson Leung, we have a team of 7 analysts monitoring the market and updating our recommendations and commentaries 24 hours a day.

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