21 Mar 2014
GBP/USD 8 month uptrend severed - Commerzbank
FXStreet (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank notes that GBP/USD has eroded the 55 day moving average and the 8 month uptrend at 1.6551.
Key Quotes
“We have seen a second close below the 8 month uptrend and this should be enough to to re-focus attention on to the 1.6259/29 support zone which remains key (September high and the 23.6% retracement of the move up from July 2013). We suspect that the 1.6649 20 day ma will now cap intraday rallies.”
“Very near term, we note the presence of the Imoku cloud directly below at 1.6247 and would allow for a small rebound. Resistance at 1.6650 guards the 1.6750/1.6822 resistances.”
Key Quotes
“We have seen a second close below the 8 month uptrend and this should be enough to to re-focus attention on to the 1.6259/29 support zone which remains key (September high and the 23.6% retracement of the move up from July 2013). We suspect that the 1.6649 20 day ma will now cap intraday rallies.”
“Very near term, we note the presence of the Imoku cloud directly below at 1.6247 and would allow for a small rebound. Resistance at 1.6650 guards the 1.6750/1.6822 resistances.”