DAILY GBP/USD TECHNICAL OUTLOOKLast Update At 27 Aug 2015 00:26GMT
Trend Daily Chart
Sideways
Daily Indicators
Turning up
21 HR EMA
1.5544
55 HR EMA
1.5625
Trend Hourly Chart
Down
Hourly Indicators
Rising fm o/s
13 HR RSI
21
14 HR DMI
-ve
Daily Analysis
Consolidation b4 decline resumes
Resistance
1.5606 - Last Thur's low (now res)
1.5562 - Hourly sup (now res)
1.5530 - Prev. hourly sup (now res)
Support
1.5453 - Y'day's low
1.5424 - Aug's low (7th)
1.5330 - Jul's low (8th)
. GBP/USD - 1.5480.. Cable continued Tue's decline n tumbled fm 1.5721 to as low as 1.5453 near NY close on Wed as broad-based selling in sterling together with renewed usd's strenth all contributed to the pound's downfall.
. Looking at the bigger picture, despite resumption of recent erratic rise fm 1.5330 (Jul's low) to a 2-month peak of 1.5820 on Tue, cable's aforesaid sell off signals a 'reversal' has taken place, a daily close below 1.5424 sup would add credence to this view, then price would re-test 1.5330 in the 1st half of Sept where a breach of this key sup would confirm early decline fm Jun's 7-month high has finally resumed, then price would be en route tp 1.5248, this is a 'natutal' 50% retracement of the entire MT upmove fm 2015 trough at 1.4566. In view of abv analysis, selling cable in anticipation of further decline is favoured n only abv 1.5606 (prev. sup, now res) would indicate 1st leg of decline fm 1.5820 has ended, then risk is for a stronger recovery twd 1.5670/80 b4 another fall.
. Today, as current price is trading well below the 21-hr & 55 hr emas, selling the pound for weakness twd 1.5424 sup is recommended, however, ashourly oscillators' readings are in o/sold territory, reckon 1.5370/80 would hold.
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