GBPUSD: Neutral

Jim Langlands FX Charts

GBPUSD: 1.3018

Preferred 24-hour Strategy: Neutral

Cable traded a tight 1.3010/52 range on Wednesday leaving the outlook unchanged.

The momentum indicators are a mixed again on Thursday and a cautious stance is required. Still sitting close to the previous pivot of 1.3045, we could chop around here today, at least until the ECB Meeting when EurGbp will drive any directional move. The UK Retail Sales are also due and will create some waves.

On the downside, the session low of 1.3010 and the 18 July low of 1.3004 will provide the initial support, but a break of 1.3000 could have us quickly back 1.2980, below whish could then head to the 14 July’s low of 1.2933 although this seems unlikely today.

On the topside, back above 1.3100 would see good sellers once again at 1.3115/25, but above which there is little to stop Cable heading on towards 1.3200 and then to 1.3280. Above there would be increasingly bullish, possibly opening up the major Fibo pivot at 1.3420 (50% pivot of 1.5017/1.1821) although this currently remains over the horizon.

24 Hour Outlook: Neutral		Medium Term: Prefer to buy dips
Resistance		Support
1.3200	Minor	1.3004	18 July low
1.3150	Minor	1.2980	Minor
1.3125	18 July high	1.2950	200 HMA
1.3100	Minor	1.2920	(38.2% of 1.2589/1.3125)
1.3052	Session high	1.2900	Minor

Economic data highlights will include:

Retail Sales

Interested in GBPUSD technicals? Check out the key levels

1. R3 1.3091
2. R2 1.3073
3. R1 1.3047
PP 1.3029
1. S1 1.3003
2. S2 1.2985
3. S3 1.2959

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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