[B]DAILY GBP/USD TECHNICAL OUTLOOK[/B]
Last Update At [B]17 Mar 2015[/B] [I]00:27GMT[/I]
[B]Trend Daily Chart[/B]
[B]21 HR EMA[/B]
[B]55 HR EMA[/B]
[B]Trend Hourly Chart [/B]
[B]Hourly Indicators [/B]
[B]13 HR RSI [/B]
[B]14 HR DMI[/B]
Consolidation with mild downside bias
1.4952 - Jan 23 low (now res)
1.4902 - Hourly chart
1.4853 - Y’day’s high
1.1799 - Y’day’s European morning high (now sup)
1.4770 - Y’day’s NY low
1.4730 - Y’day’s low (NZ)
. [B]GBP/USD[/B] - 1.4823… Although cable opened lower to 1.4730 in tandem with eur/usd in NZ on Mon, intra-day rally lifted the pound n price ratcheted higher to 1.4799 in Europe, then later to 1.4853 in NY afternoon b4 easing.
. Let’s look at bigger picture 1st, as mentioned in prev. update, the pound finally caught up with recent strg downtrend in eur/usd n penetrated Jan’s low at 1.4952, then 2013 bottom at 1.4814, suggesting LT fall fm 2014 near 6-year peak at 1.17192 has once again resumed n price is now en route to 1.4582 later this week, being 61.8% proj. of MT intermediate decline fm 1.5554, however, as daily technical indicators’ readings wud be in oversold territory on such move, reckon 1.4228 (2010 trough) wud hold this month n bring a much-needed correction. Therefore, selling cable in anticipation of further weakness is the way to go n only abv 1.4952 (previous low, now res) wud signal a temporary low is made.
. Today, although y’day’s strg rebound to 1.4853 confirms recent downtrend has indeed formed a minor bottom at 1.4699 n 1-2 days of consolidation is seen, intra-day retreat suggests nr term downside bias remains for weakness to 1.4770, however, reckon said Mon’s low at 1.4730 wud hold n yield another rebound.