GBP/USD technical analysis: Heavy below 10-DMA, 2-week old resistance-line

Wednesday’s Doji-like candle on daily chart can’t portray GBP/USD strength unless breaking near-term key resistances.
Oversold RSI increases the odds for a pullback.

Anil Panchal FXStreet

Despite forming similar to the ‘Doji’ candle on a daily chart, GBP/USD lags behind immediate upside barriers while taking rounds to 1.2060 during early Thursday.

The ‘Doji’ formation generally reverses the trend and is more influential when prices are low, as in the case of the Cable. Also supporting the recovery is oversold conditions of 14-bar relative strength index (RSI). Though, 10-day simple moving average (DMA) and a downward sloping trend-line since July 31 can keep the recovery in check around 1.2104 and 1.2131 respectively.

Should buyers successfully dominate beyond 1.2131, July 21 high near 1.2250 holds the key to the pair’s rise to 1.2382/84 horizontal-area comprising extremes of July 17 and 29.

Alternatively, 1.2015, 1.2000 and the 2017 low near 1.1987 could keep sellers busy ahead of pushing them towards 2016 low around 1.1806.

GBP/USD daily chart

Trend: Bearish

1. R3 1.215
2. R2 1.2126
3. R1 1.2093
PP 1.2069
1. S1 1.2036
2. S2 1.2012
3. S3 1.198

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.