Daily Technical Outlook on Major - GBP/USD

AceTrader Team AceTrader

DAILY GBP/USD TECHNICAL OUTLOOK
Last Update At 15 Oct 2019 02:09GMT

Trend Daily Chart
Sideways

Daily Indicators
Neutral

21 HR EMA
1.2595

55 HR EMA
1.2545

Trend Hourly Chart
Sideways

Hourly Indicators
Turning up

13 HR RSI
56

14 HR DMI
+ve

Daily Analysis
Consolidation with upside bias

Resistance
1.2735 - Jun 28 high
1.2708 - Last Fri's 3-month high
1.2650 - Y'day's high

Support
1.2551 - Y'day's hourly sup
1.2517 - Y'day's low
1.2469 - Last Thur's high (now sup)

GBP/USD - 1.2614..Although cable fell fm 1.2645 in NZ to session lows at 1.2517 on Brexit concerns, price rallied to an intra-day high at 1.2650 in Europe b4 retreating to 1.2536 but rebounded to 1.2607 on renewed Brexit hopes.

On the bigger picture, despite a flash crash to 2016 31-year bottom at 1.1491 on Brexit worries, cable rally to 2018 21-month peak at 1.4377 in Apr confirms major low has been made. Despite sterling's sharp fall to 1.2412 at the start of Jan, then to a 34-month bottom of 1.1959 in Sep, subsequent rally to 1.2582 in Sep on easing of market fear of a no-deal Brexit, then last week's impressive rise to 1.2708 suggests choppy trading abv 1.1491 would continue with upside bias for gain to 1.2883 (38.2% r of 1.4377-1.1959), 'bearish divergences' divergences' on daily indicators should cap price at 1.3000. On the downside, a daily close below 1.2500 signals temp. top made n would head back to 1.2409/13.

Today, despite y'day's selloff to 1.2517, subsequent rally to 1.2650 suggests correction fm Fri's 3-month high at 1.2708 has ended there n re-test of said res would be seen after consolidation, break needed to extend twd 1.2735. Only below 1.2517 would revive bearishness for stronger retrace. to 1.2469.

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.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.