GBPUSD Descending Triangle | Forex Strategies
On hourly chart, confirmation of a bearish double-top chart pattern clearly points to a further downfall towards 1.4400 handle. However, the broader picture shows that the pair has held its neck above 50-day SMA immediate support near 1.4430 region. This 50-day SMA might well continue providing immediate support for the pair (Forex Strategies).
GBPUSD Falling Wedge
Meanwhile on the upside, the pair need to build on to momentum above 1.4500 handle, which could assist the pair immediately towards 1.4550-60 resistance. Strength above 1.4550 resistance area seems to fuel further appreciating move for the pair towards 1.4600 handle, which if conquered might trigger a fresh bout of buying interest and boost the pair towards the very important 200-day SMA resistance near 1.4700-20 region.
GBP/USD – Rebound From Daily 50-MA
We would stress caution around the “Brexit” vote on June 23rd, which is a referendum about whether or not Britain will stay in the Euro-zone. We don’t recommend holding positions during that time or over the weekend around the event. Resistance – 1.4482, 1.4556, 1.46 Support – 1.4436, 1.44, 1.4360 Pair’s failure to take out larger falling trend line resistance on Wednesday followed by a negative closing yesterday despite absence of fresh Brexit polls and a better-than-expected UK manufacturing and trade deficit data indicates the pair in on track to test daily 50-MA level of 1.4436 and 1.44 levels. However, bears should watch for a rebound from/recovery back above daily 50-MA of 1.4436 followed by a break above 1.4466 (daily high) as such a move would shift risk in favor of a rise to 1.4514 levels. On a larger scheme of things, the pair remains trapped in larger falling trend line hurdle and a rising trend line (drawn from 1.3835 and 1.4005) (Forex Strategies).
GBPUSD Bat Harmonic
The resurgence of the buying interest around the greenback has motivated spot to retrace from tops beyond the 1.4600 handle recorded on Tuesday, giving away around two big figures so far. Could form Bat Harmonic at 1.4387. Price would go up from there, perhaps.
GBPUSD 10.06.16. | Forex Strategies
Lower yields in UK Gilts and the re-emergence of jitters around a probable ‘Brexit’ scenario following the EU-UK Referendum at the end of the month have been weighing on sentiment as of late, spooking traders and triggering the ongoing leg lower.
After a recent sell-off post dismal monthly jobs report, the greenback bounced-off Thursday’s low level and is seen extending the recovery during Asian session on Friday. The GBPUSD pair is trading with some marginal losses but has managed to hold 1.4450 intermediate support. On the other hand, the EURUSD pair has now dropped below 1.1300 handle to print a fresh weekly low.