GBPUSD - recovery attempts are limited for now, as overall bears keep focus at the downside

Slobodan Drvenica Windsor Brokers

GBPUSD
Cable bounced from last week’s fresh low at 1.2169, posted after three days in red, following upside rejection at 1.2330. Recovery attempts that so far retraced over 38.2% of 1.2330/1.2169 downleg, are struggling to clearly break above daily Tenkan-sen line (currently at 1.2216), with sustained break above needed to signal further recovery towards next pivot at 1.2269 (Fibo 61.8%).
Overall structure remains bearish and keeps focus at downside pivots at 1.2134 and 1.2087 (lows of 17 / 11 Oct), loss of which would open key 1.2000 support zone.
Extended recovery off 1.2169 low is expected to stay limited, before fresh attempts lower. Only break above 1.2330 (19 Oct recovery top) would neutralize near-term bears and shift focus higher.

Res: 1.2247; 1.2269; 1.2296; 1.2330
Sup: 1.2183; 1.2169; 1.2134; 1.2087

Interested in GBPUSD technicals? Check out the key levels

1. R3 1.2247
2. R2 1.2238
3. R1 1.2230
PP 1.2221
1. S1 1.2213
2. S2 1.2204
3. S3 1.2196

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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