Talking Points
- GBP/USD Technical Strategy: Sidelines Preferred
- Hammer Awaiting Confirmation To Warn Of A Correction
- Sustained Recovery Questionable Amid Broader Downtrend
GBP/USD’s recovery is at risk following the emergence of a Hanging Man formation on the daily. If confirmed by a successive down-day the reversal formation would warn of a pullback to the pair’s recent lows near 1.6060.
GBP/USD: Hanging Man Endangers Recovery
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
Choppy price action in intraday trade has left few signals to take cues from. Selling pressure is evident at the 1.6290 mark, yet a void of bearish signals leaves a question mark over the prospect of a correction.
GBP/USD: Consolidation Leaves Void Of Key Reversal Patterns
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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