To receive Ilya's analysis directly via email, please SIGN UP HERE
Talking Points:
- GBP/USD Technical Strategy: Flat
- Support: 1.4981, 1.4892, 1.4804
- Resistance: 1.5091, 1.5159, 1.5268
The British Pound renewed its push downward against the US Dollar, issuing the largest daily decline in three weeks. Near-term support is at 1.4981, the 38.2% Fibonacci expansion, with a break below that on a daily closing basis exposing the 50% level at 1.4892. Alternatively, a reversal above the 23.6% Fib at 1.5091 clears the way for a test of the 14.6% expansion at 1.5159.
Prices are too close to support to justify entering short from a risk/reward perspective. On the other hand, the absence of a defined bullish reversal signal suggests that taking up the long side is premature. With that in mind, we will remain flat for now.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
original source
