Daily Technical & Trading Outlook GBP/USD

Posted By FxNewInfo.com Posted On 13 January 2016

DAILY GBP/USD TECHNICAL OUTLOOK
Last Update At 13 Jan 2016 00:18GMT

Trend Daily Chart 
Down 

Daily Indicators 
Falling 

21 HR EMA 
1.4453 

55 HR EMA
1.4500

Trend Hourly Chart 
Down 

Hourly Indicators 
Rising fm o/sold 

13 HR RSI 
44 

14 HR DMI
-ve

Daily Analysis
Consolidation b4 decline resumes

Resistance 
1.4604 - Mon's high (NY)
1.4538 - Y'day's European high
1.4491 - Mon's low (AUS), now res 

Support
1.4352 - Y'day's fresh 5-1/2 year low
1.4307 - 61.8% proj. of 1.7192-1.4566 fm 1.5930
1.4248 - 1.618 times extn of 1.5509-1.4896 fm 1.5240

GBP/USD - 1.4446... Cable started to fall after a brief gain to 1.4560 in Asia on Tue n then tumbled below Mon's 5-1/2 yr trough at 1.4491 to as low as 1.4352 due to downbeat UK industrial data b4 recovering to 1.4454 near NY close. 

. Let's look at the picture 1st, cable's cross-inspired break of previous 2015 bottom at 1.4566 to 1.4507 last Fri confirms the major decline fm 1.7192 (2014 peak made in Jul) has finally resumed n price should head to 1.4307 next, then twd 1.4248 later this month, this is 61.8% projection of said fall fm 1.7192-1.4566 measured fm 1.5930 n 1.618 times extension of intermediate fall of 1.5509-1.4896 measured fm 1.5240 respectively. Therefore, selling cable on recovery for resumption of aforesaid downtrend to indicated objectives is favoured. On the upside, only a daily close abv 1.4604 (Mon's high) would signal mtemporary low is made, then risk is seen for stronger gain twds 1.4806/16. 

. Today, despite intra-day rebound fm 1.4352 to 1.4454 in NY session, reckon price would falter below 1.4491 (Mon's low, now res) n bearishness remains for another fall but bullish convergences on hourly oscillators on next decline should keep price abv 1.4300/10 today n yield minor correction later. 
gbp

Related Posts

FxNewInfo.com - The Website will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts. Please be fully informed regarding the risks and costs associated with trading the Forex Markets, it is one of the riskiest investment forms possible. Currency forex trading on margin involves high risk, and is not suitable for all investors. Before deciding to forex trade foreign exchange or any other financial instrument you should carefully consider your investment objectives, level of experience, and risk appetite.