GBP/USD: Buy the dips circa 1.3730 - Commerzbank

Dhwani Mehta FXStreet

Karen Jones, Analyst at Commerzbank, notes that the GBP bulls may face exhaustion now, but GBP/USD remains poised for a move towards 1.4000.

Key Quotes:

“GBP/USD spiked higher yesterday, various intraday divergences suggest consolidation ahead of a move to psychological resistance at 1.40. The market stays immediately bid above the 1.3495 2 month uptrend. We would allow for a retracement to 1.3730/1.3600 ahead of further gains.“

“Below the 1.3495 would retarget the 1.3291 2014-17 uptrend.”

“The 2014-2017 downtrend line has been eroded to target the 1.3658/71 double Fibo. Above here would target 1.3836 the February 2016 low.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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