Daily Technical Outlook & Trading GBP/USD

AceTrader Team AceTrader

DAILY GBP/USD TECHNICAL OUTLOOK
Last Update At 28 Oct 2016 00:25GMT

Trend Daily Chart
Down

Daily Indicators
Bullish convergences

21 HR EMA
1.2187

55 HR EMA
1.2200

Trend Hourly Chart
Sideways

Hourly Indicators
Falling

13 HR RSI
38

14 HR DMI
-ve

Daily Analysis
Choppy consolidation to continue

Resistance
1.2299 - Last Thur's high
1.2273 - Y'day's high
1.2200 - Thur's European low (now res)

Support
1.2149 - Wed's low
1.2132 - Oct 13 low
1.2082 - Tue's low

GBP/USD - 1.2168... Despite cable's brief jump fm 1.2200 to session high of 1.2273 on upbeat UK GDP, price gyrated inside this range b4 tumbling to 1.21 49 near NY midday after a UK minister said Britain will leave the EU.
On the daily chart, cable's break of Jul's 31-year bottom at 1.2798 confirms LT fall fm 2.1162 (Oct 2007) has resumed n despite a 'flash crash' to 1.14 91 on Oct 6, intra-day swift jump to 1.2483 n a daily close near the day's high which resulted in a spike bottom 'reversal' pattern on the daily chart together with 'bullish convergences' on the daily indicators' suggest low has been made. Although recent volatile swings ended with Tue's break of prev. 1.2090 sup to 1.2082, subsequent rebound has retained bullish bias, abv 1.2334 wud encourage for gain twd 1.2483. Only below 1.2082 risks weakness to 1.2000/10 but 1.1987 (50% r of 1.1491-1.2483) would contain downside n yield strg rebound later.
Today, although price has retreated after y'day's rally to 1.2273 n consolidation is in store, as upmove fm 1.2082 to 1.2273 suggests recent decline fm 1.2783 (reaction high fm 1.1491) has ended, upside bias remains, abv 1.2273 would extend gain to 1.2299 n later 1.2334. Only below 1.2082 risks 1.2040/50.

Interested in GBP/USD technicals? Check out the key levels

1. R3 1.2367
2. R2 1.2320
3. R1 1.2241
PP 1.2194
1. S1 1.2115
2. S2 1.2068
3. S3 1.1989

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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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