DAILY GBP/USD TECHNICAL OUTLOOKLast Update At 19 Jan 2016 00:09GMT
Trend Daily Chart
Down
Daily Indicators
Falling
21 HR EMA
1.4269
55 HR EMA
1.4309
Trend Hourly Chart
Down
Hourly Indicators
Bullish convergences
13 HR RSI
38
14 HR DMI
-ve
Daily Analysis
One more fall b4 rebound
Resistance
1.4352 - Last Tue's low
1.4326 - Last Fri's European low (now res)
1.4286 - Mon's Asian high
Support
1.4228 - 2010 bottom (May)
1.4201 - 61.8% proj. of 1.4445-1.4248 fm 1.4323
1.4178 - 1.618 times ext. of 1.5930-1.5107 fm 1.5510
. GBP/USD - 1.4251... Cable swung wildly on Mon. Despite falling one tick below last Fri's 1.4252 low in NZ, price recovered to 1.4286 n briefly fell to 1.4248 in Europe b4 rebounding to 1.4323 but only to weaken to 1.4237.
. Let's look at the bigger picture picture 1st, cable's cross-inspired break of previous 2015 bottom at 1.4566 (Apr) in early Dec n then to 1.4252 last Fri signals the major downtrend fm 1.7192 (2014 peak made in Jul) remains in progress n price is en route to re-test 2010 bottom at 1.4228 (May) next, then 1.4178, being 1.618 time extension of MT intermediate decline fm 1.5930-1.5107 measured fm 1.5510. Having said that, as both hourly & daily technical indicators' readings would be in oversold territories on next fall, reckon 'psychological' sup at 1.4000 would hold this month. Therefore, selling cable on recovery is recommended n only abv 1.4476 confirms temporary low is made, risks 1.4604.
. Today, as cable had continued its recent losing streak y'day n closed near the day's fresh 5-1/2 month bottom at 1.4237, suggesting test of indicated chart obj. at 1.4228 would be seen n possibly twd 1.4201, bullish convergences on the hourly indicators should keep price abv 1.4178. Abv 1.4286/90, 1.4323/26.
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