DAILY GBP/USD TECHNICAL OUTLOOKLast Update At 22 May 2015 00:19GMT
Trend Daily Chart
Up
Daily Indicators
Turning down
21 HR EMA
1.5641
55 HR EMA
1.5609
Trend Hourly Chart
Sideways
Hourly Indicators
Turning down
13 HR RSI
65
14 HR DMI
+ve
Daily Analysis
Consolidation b4 marginal rise
Resistance
1.5815 - May 14 high
1.5745 - Mon's high
1.5700 - Y'day's high
Support
1.5472 - Y'day's low
1.5445 - Tue's low
1.5393 - May 11 low
. GBP/USD - 1.5666 ... Despite cable's brief retreat fm Asian 1.5561 high to 1.5525 at European open on Thur, the British pound 'jumped' abv Wed's 1.5588 high after the release of much stronger-than-expected U.K. retail sales. Cable rose to as high as 1.5700 n then retreated to 1.5645 b4 trading sideways in NY.
. Looking at the bigger picture, despite last week's post-U.K. election relief rally to a 5-month peak of 1.5815 (Thur), subsequent sell off to 1.5445
signals the MT strg upmove fm Apr's near 5-year trough at 1.4566 has indeed made a top there, however, y'day's rally to 1.5700 suggests 1st leg of decline fm 1.5815 has ended there n as long as 1.5588 (prev. res, now sup) holds, marginal gain to 1.5724 (1.618 times ext. of 1.5445-1.5588 measured fm 1.5493) is likely, however, as broad outlook remains consolidative, price shud falter well below 1.5815 res n yield another leg of decline later next week. On the downside, below 1.5525 signals recovery over n bring re-test of 1.5445, break wud yield retracement of the rally fm Apr's low at 1.4566 to 1.5338 (38.2% r).
. Today, as current price is trading abv 21-hr & 55-hr emas, suggesting buying cable on dips is favoured n only below 1.5600 signals top is made, 1.5573.
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