Back
10 Feb 2014
Flash: GBP/USD upside limited around 1.6410 - FXStreet
FXStreet (Barcelona) - Valeria Bednarik, FXStreet Chief Analyst comments that GBP/USD trades near its daily low after failing around a key resistance area: 38.2% retracement of its latest bearish run converges with the 200 EMA in the 4 hours chart around 1.6415.
Key Quotes
“Early Europe the pair advanced up to 1.6425, albeit quickly retraced unable to open a candle above the mentioned resistance. In the same time frame, indicators lose upward potential and turn lower still in positive territory, while 20 SMA stands well below current price heading higher and offering dynamic resistance around 1.6330.”
“Further falls below 1.6370 should signal a downward continuation towards mentioned 1.6330 area, while once below this last, next bearish target comes at 1.6290. Steady gains above 1.6420 are required to deny the bearish bias and see the pair attempting to extend its rally towards 1.6460, 50% retracement of the same downward move.”
Key Quotes
“Early Europe the pair advanced up to 1.6425, albeit quickly retraced unable to open a candle above the mentioned resistance. In the same time frame, indicators lose upward potential and turn lower still in positive territory, while 20 SMA stands well below current price heading higher and offering dynamic resistance around 1.6330.”
“Further falls below 1.6370 should signal a downward continuation towards mentioned 1.6330 area, while once below this last, next bearish target comes at 1.6290. Steady gains above 1.6420 are required to deny the bearish bias and see the pair attempting to extend its rally towards 1.6460, 50% retracement of the same downward move.”