GBPUSD: Consolidating within short-term bearish pressures

Yann Quelenn Swissquote Bank Ltd

EUR/USD

Short-term weakness.

EUR/USD bearish pressures are on. Hourly resistance can be found at 1.1910 (02/08/2017 high) while hourly support given at 1.1689 (09/08/2017 high) has been broken. Stronger support lies at 1.1613 (26/07/2017 low). Expected to show further short-term selling pressures.
In the longer term, the momentum is now turning largely positive. We favour a continued bullish bias. Key resistance holding at 1.1871 (24/08/2015 high) has been broken while strong support lies at 1.0341 (03/01/2017 low).

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GBP/USD

Consolidating within short-term bearish pressures.

GBP/USD is edging higher. Hourly resistance is given at 1.3267 (03/08/2017 high). Hourly support can be found at 1.2812 (12/07/2017 low). Expected to show continued bearish pressures.
The long-term technical pattern is even more negative since the Brexit vote has paved the way for further decline. Long-term support given at 1.0520 (01/03/85) represents a decent target. Long-term resistance is given at 1.5018 (24/06/2015) and would indicate a long-term reversal in the negative trend. Yet, it is very unlikely at the moment.c

USD/JPY

Strong bearish pressures.

USD/JPY's bearish pressures are back towards former support at 108.83 (17/04/2017 low). Expected to show another leg lower.
We favor a long-term bearish bias. Support is now given at 96.57 (10/08/2013 low). A gradual rise towards the major resistance at 135.15 (01/02/2002 high) seems absolutely unlikely. Expected to decline further support at 93.79 (13/06/2013 low).

Author

Yann Quelenn

Swissquote Bank Ltd

Yann Quelenn is a Market Analyst at Swissquote Bank with strong technical and financial background. Previously, he worked as FX Trader at Banque Privée Edmond de Rothschild and as Portfolio Manager at Polaris Investment in Luxembourg.

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