GBPUSD - Intraday - We look to Buy at 1.5500 (stop at 1.5475) Traded to the highest level in 8 weeks. Price action has broken from the previous formation. Price action formed a bullish Marabuzo which offers buying support near 1.5490. The 161.8% Fibonacci extension is located at 1.5562 from 1.5532 to 1.5474. Little net movement overnight. Further upside is expected although we prefer to buy into dips close to the 1.5500 level. Our profit targets will be 1.5550 and 1.5585 Resistance: 1.5560 / 1.5586 / 1.5600 Support: 1.5490 / 1.5465 / 1.5450
The major trend of GBP/USD is bearish but from past few trading sessions prices are not sustaining at lower levels & consolidating near the important level of 1.4990. In its hourly chart, prices are consolidating with strong positive bias and taking support of 30 and 200 DMA. If the pair breaks the important level of 1.4990 at upside then we can expect it to test the level of 1.5040/1.5090.
INDICATORS:-
RSI is sustaining in buying territory supporting the upcoming bullish trend in the pair.
MACD line is also sustaining in buying territory indicating the bullish trend in the pair.
STRATEGY:- GBP/USD has bounced back from the lower level & looking bullish on charts for next few session. One can go for buy on dips strategy for this pair for intra day to mid term positions.
I think that it is a market that still has a significant amount of bearishness to it, but if I did manage to clear well above the 1.55 handle, at that point in time I would have to consider it a trend change.
GBPUSD traded with clear positivity yesterday evening to breach 1.5210 level, and settles with a daily close above it, which represents a new support base that supports the continuation of the bullish trend scenario on the short term basis, where its next main target at 1.5370.
I’ve opened a long position above 1.53 with the main target at 1.5555.
The bias remains bullish in nearest term testing 1.5550. A clear break and daily close above that area could trigger further bullish pressure testing 1.5600/20 area.
The RSI lacks downward momentum. Below 1.571 look for further downside with a 1.5525 as a target.
I wanted to signal a bullish divergence hidden on GBPUSD on H4 time frame. Usually these differences on weekly charts in trend always work and they are very powerful.
By Andrea Aquaro
There is bearish potential for a fall to 1.5394 while 1.5542 - 1.5583 resist.
The upward potential is likely to be limited by the resistance at 1.5385.
While below the 200 hours line at 1,5304 I have to expect lower levels toward a possible target at 1,5132. However in the hourly chart I have also a positive reversal situation that could start limiting the downside.
At this point, I’m slightly favoring that the rebound from 1.4565 is a correction. I’d expect strong resistance around 1.6187 to limit upside and bring reversal.
Intraday bias remains on the upside for 1.5814 resistance. Meanwhile, below 1.5540 minor support will turn bias to the downside for 1.5169 support.
Today’s pressure failed however to confirm a new low and bullish divergences. Possible therefore a rebound; however only an hourly closing above 1,5770 will confirm a s/t bottom suggesting a retest of the previous top.
Today I prefer short positions below 1.5675 with targets @ 1.5555 & 1.5495 in extension.
GBP/USD remains trapped in a 1.5350-1.5650 range, but is turning heavy. The pair can’t get any higher, the upmove looks done.
GBPUSD remained under pressure yesterday and sold off to the 55 day ma at 1.5550 - this adds weight to our view that the push up to 1.5674 was corrective only.
I look for rallies to remain capped by 1.5700 and trigger a slide towards support at 1.5171.
I think that the market is still very much a market that’s ready to go higher, but ultimately I think that the market will be fairly choppy in the short-term. With this, it’s only a matter of time before the buyers take over, but you’re going to have to be very patient if you are a buyer on dips like I am.