GBPUSD - Weak rally points lower

Alan Collins 3cAnalysis

Thursday’s report highlighted a lack of clear direction for sentiment. That proved valid as price action was limited in range and net movement. Wednesday’s 14 month low was not retested but a profit taking attempt was limited and the highs not held. Taken in the context of a hugging of the lower end of a negative Keltner channel, we look for further downside. Therefore this morning’s call is a Cautious Sell at 1.2725 but leaving room to also Sell at 1.2755, Thursday’s high. The risk is 1.2791 with downside objectives at 1.2698, Asia’s low, 1.2662, this week's bottom, or even 1.2629.

Negative Channel

Upside Rejected

GBPUSD Current Trading Positions

Sell 70%

Buy 30%

Avg Sell Price 1.2851

Avg Buy Price 1.2741

Liquidity Distribution

Author

Alan Collins

3cAnalysis

Alan has been involved in the financial markets for more than 30-years.

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