Resistance – 1.4444, 1.4479, 1.4514 Support – 1.4405, 1.4367, 1.4345-1.4330 A slight improvement in the UK international trade situation in March has not really helped Cable rally. The bird still stays below resistance at 1.4444. An upside break is needed if the pair has to test 1.4479-1.45 levels. Watch out for a failed attempt to take out 1.4444 as it could...
GBP/USD – Spikes to be viewed with caution Support – 1.4413, 1.4371, 1.4330 Resistance – 1.4444, 1.4471, 1.4536 Cable’s bearish break from the sideways range on Friday post US non-farm payrolls data reinforced bears; hence the currency could be met with offers. Failure to take out 1.4444 witnessed on the hourly chart now could trigger a break below 1.4413...
Chart - Hourly Chart Range - 1.4541 - 1.4443 Traders should wait for a breach of the trading range rather than attempt taking sides as of now. However, in our view, a possibility of the pair seeing an upside break from the trading range are high because - The downside has been capped around 1.4443 despite horrible UK PMI figures released this week. ...
The spot currently trades near 1.45 handle. Cable’s repeated rebound from the zone of 1.4460-1.4440 if followed by a break above hourly 50-MA levels could yield 1.4541 (23.6% of 1.3835-1.4770). Hourly 50-MA seen now at 1.4491 acted as a strong resistance yesterday. Plus, we also had a bearish 50-MA and 200-MA crossover earlier this week. Hence, break above...
Cable dropped to rising trend line support as expected earlier today and extended losses to 1.4613 before rising to 1.4635 levels. US session outlook Cable's breach of rising trend line has shifted balance in favor of bears. However, a rebound from support at 1.4617 followed by a break above 1.4635 could see the pair make an attempt at 1.4660 (rising trend...
Resistance - 1.4805, 1.4844, 1.49 Support - 1.4740, 1.47, 1.4650 GBP/USD extended gains in Europe to a high of 1.4764 levels following a bullish break from the larger falling trend line level on daily chart. The move is largely due to broad based USD selling, Markets haven't priced-in a slight uptick in the UK services PMI. Consequently, 1.48 could...
Resistance - 1.4617, 1.4636, 1.4670 Support - 1.4550-1.4533, 1.4473, 1.4436 Pair's rejection at larger falling trend line along with bearish price-RSI divergence on intraday charts led to a drop as anticipated earlier today. Bearish pressure may gather pace if - Spot breaks below 1.4533 (strong support this week) or sees an hourly close below 1.4550...
US preliminary estimate of Q1 GDP is due for release today. The growth rate is seen coming-in at 0.6% compared to previous quarter’s growth rate of 1.4%. Q1 slowdown is seasonal That is a marked slowdown; however, note that Q1 is usually the weakest in the US and strongest in Eurozone. Plus, the recent slowdown is well know and pretty much priced-in. Fed’s...
Resistance – 1.4533, 1.4480, 1.4474 Support – 1.4578, 1.4617-1.4636 Cable’s bearish break from rising channel on hourly timeframe led to a drop to hourly 50-MA as anticipated earlier today. Spot found support at 1.4533 (50% of 1.4669-1.3835). Stage is set for a drop further to rising trend line support at 1.4480-1.4474 if Fed turns hawkish. Note –...
It appears there is little room for Fed to move rates before December. Raising rates a day or two ahead of UK referendum is a risk; hence June rate hike hint may not come through Fed statement today. Nevertheless, if Fed intends to move rates in June, then the telegraphing process has to begin now and thus a hint could be given through April statement. The...
Please see annotated chart for rationale.
GBP/USD clocked a high of 1.4451 on Friday, before trimming gains to end the day at 1.44. The day end closing was just above the inverse head and shoulder neckline level of 1.4395. The upside break comes after US President Obama urged Britons to vote in favor of EU membership. GBP bears worry that could force Britons to rethink about the consequences of Brexit...
Resistance – 1.4392, 1.4436, 1.45 Support – 1.4350, 1.43, 1.4252 GBP traded weak as expected in Europe, but bears failed to keep it below 1.4320, with prices now breaking higher from triangle formation on a 5- minute chart. A re-test of inverse head and shoulder neckline at 1.4392 appears likely. A violation there would expose 1.4438 levels. On the lower...
Resistance – 1.4350, 1.44, 1.4438 (100-DMA) Support – 1.4308-1.43, 1.4252, 1.4223 (50-DMA) A weaker-than-expected UK retail sales was largely in line with our expectations and the Pound is now flirting with looking to take out support at 1.4308. The currency pair was losing ground in anticipation of weak data; hence immediate reaction following the data release...
Price action yesterday Cable made multiple failed attempts to take out inverted head and shoulder neckline seen yesterday at 1.4402. The second attempt was widely expected to result in an upside break since the pair bounced off from around key support level of 1.4350 after dismal UK labor and wage growth data release. However, dollar demand was strong in the NY...
Resistance @ 1.442 Target 1 @ 1.426 Keep you updated!
GBP/USD breached falling channel seen on the daily chart in the NY session yesterday and tested supply around the inverse head and shoulder neckline hurdle. Prices clocked a high of 1.4419 before bullish move ran out of steam. The bird is losing height in early Europe today; now trading around 1.4350 levels. Points to be noted heading into data release ...
We took profit on cable long yesterday around 1.4435, for the past 24HRS we have seen a familiar pattern in the pair and we go short from here: 1.4400. From this level we expect price to break 1.4328 down and continue lower. We are entering this position with small lots with posibility to add after the break of 1.4328. If the pair manage to break the 1.4328, the...