GBP/USD now targets 1.2775/59 – Commerzbank

Pablo Piovano FXStreet

Cable now risks a test of the 1.2275/59 band, suggested Axel Rudolph, Senior Technical Analyst at Commerzbank.

Key Quotes

“GBP/USD has now fallen below the 38.2% Fibonacci retracement at 1.2825 and probes the July low at 1.2811, a fall through which will target the 1.2775/59 December 2016, late April and late May lows. Further down the 50% retracement and 200 day moving average can be seen at 1.2688/50”.

“We continue to suspect that the 1.3267 current August high was the end of the up move. While trading below the next lower 1.3031/49 May and August 11 highs immediate downside pressure will be maintained. Further resistance sits at the 1.3126 July 18 high”.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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