Slobodan Drvenica
Windsor Brokers
GBP/USD
Cable is holding within a narrow consolidation in European trading on Wednesday, following Tuesday’s 0.64% drop, which generated an initial signal of an end of a multi-day directionless mode.
Fresh weakness touched strong supports at 1.2170 zone (50% retracement of 1.1933/1.2406/lows of June 22/23), but so far lacking strength for a clear break, which would confirm bearish signal and shift near-term focus lower.
Daily technical picture is bearish with strong negative momentum and MA’s in bearish setup, keeping near-term bias with bears, as sterling is weighed by month-end dollar buying.
However, risk of extended range-trading is expected to persist as long as the price action stays above 1.2170 zone pivots, but the downside will remain vulnerable while daily Kijun-sen (1.2300) caps.
Res: 1.2213; 1.2235; 1.2260; 1.2300.
Sup: 1.2170; 1.2114; 1.2045; 1.2000.
Interested in GBP/USD technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
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