[B]DAILY TECHNICAL OUTLOOK ON GBP/USD
Last Update At [/B]
23 Jan 2013 00:37GMT
[B]Trend Daily Chart [/B]
Down
[B]Daily Indicators [/B]
Oversold
[B]21 HR EMA [/B]
1.5847
[B]55 HR EMA [/B]
1.5867
[B]Trend Hourly Chart[/B]
Down
[B]Hourly Indicators [/B]
Bullish convergences
[B]13 HR RSI [/B]
40
[B]14 HR DMI [/B]
-ve
[B]Daily Analysis [/B]
Consolidation with mild upside bias
[B]Resistance [/B]
1.5997 - Last Fri’s hourly res
1.5956 - Last Thur’s low
1.5893 - Mon’s high
[B]Support [/B]
1.5819 - Hourly chart
1.5807 - Mon’s low
1.5778 - Jun 20 high
[B]GBP/USD [/B]- 1.5842 … The British pound also fluctuated wildly y’day as despite recovering fm Mon’s low at 1.5807 to 1.5865 in Asia, the pair dropped to 1.5810 but failure to re-test said 1.5807 triggered short-covering. Price rose to 1.5884 in NY morning due to cross buying of stg vs euro b4 falling to 1.5819.
Cable’s rebound after holding abv 1.5807 suggests decline fm Jan’s 15- month high to retrace MT intermediate upmove fm 1.5270 (Jun 12 12’) has possibly made a temp. low n consolidation with upside bias is seen, abv Mon’s high at 1.5893 wud add credence to this view n bring stronger rebound to 1.5924 (50% r of 1.6040-1.5807) but price shud falter below 1.5950 (38.2% r of 1.6182- 1.5807). On the downside, a breach of 1.5807 wud bring stronger retrace. to 1.5778/89, being Jun 20 high (now sup) n 1.236 times extension of 1.6380-1.5992 measured fm 1.6182 respectively b4 prospect of a strg rebound as hourly oscillators’ readings have already displayed prominent ‘bullish convergences’.
Today, we are cautiously holding long position in anticipation of a rebound with stop below 1.5807, break risks weakness to 1.5778.