GBPUSD: minor levels at 1.4130 and 1.4170

Jim Langlands FX Charts

GBPUSD: 1.4100

Cable, initially underpinned by some solid UK Retail Sales data (+ 0.8% vs 0.4% exp), then reached a high of 1.4218 following the BOE Meeting, before reversing lower and closing the day at 1.4100.

1 hour/4 hour indicators: Turning higher

Daily Indicators: Turning higher.Weekly Indicators: Possible topping formation.

Preferred Strategy: Having reached the major descending trend resistance at 1.4220, which has so far been rejected, this will be the major resistance to watch for now, but ahead of which , minor levels will be at 1.4130 and 1.4170. Beyond 1.4220 would target 1.4250/70 although that remains for another day I suspect, but above there would head back to the 2018 high at 1.4345.

On the downside, support will be seen at minor levels, at 1.4075 and at 1.4025, and while the 4 hour charts look slightly heavy a more sustained test of the support may lie ahead. Further out though, the dailies still look positive, and buying dips may be the medium term trade.

Resistance		Support
1.4278	2 Feb high	1.4100	(23.6% of 1.3711/1.4218)
1.4218	Descending trend resistance/Session high	1.4075	Session low
1.4200	Minor	1.4050	Minor
1.4170	Minor	1.4025	(38.2% of 1.3711/1.4150)
1.4130	Minor	1.3995	21 Mar low

Economic data highlights will include:

BOE Quarterly Bulletin

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

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