GBP/USD Needs A Bullish Spark To Get Moving
MultiBank Exchange Group | Jul 25, 2017 09:42AM ET
GBP/USD poised for more gains
Price posted little gains today and stays below the 1.3057 yesterday’s high, technically is expected to increase further in the upcoming period. Is still shy on the short term and is waiting support from the fundamental factors, the US data could bring some action on this pair.
You should be careful in the afternoon as the US is to release the CB Consumer Confidence indicator, which could decrease from 118.9 to 116.5 points in July, while the Richmond Manufacturing Index is expected to remain steady at 7 points for the second month in July.
Price has come down to retest the upper median line (UML) of the major descending pitchfork and now is struggling to extend the latest gains. Technically should climb much higher in the upcoming period if will stay much above the UML and above the 1.2932 previous low.
Personally, I would like the price to come down to retest also the first warning line (wl1) of the ascending pitchfork before will climb towards new highs, well have a perfect buying opportunity if will retest the confluence between the UML and the wl1.
The next upside target will be at the 150% Fibonacci line (ascending dotted line), resistance can be found at the upside line of the ascending pitchfork as well.
NZD/USD losing altitude
The kiwi is going down versus the greenback on the short term, even if the dollar index stays below the 94.00 psychological level. Price found resistance at the 0.7458 level and now could correct after the impressive rally.
Could decrease in the upcoming days after another failure to reach the warning line (WL3) of the former major ascending pitchfork. Has also failed to reach and retest the 0.7484 major static resistance, so a retreat towards the 0.7375 static support is favored on the short term.
Maintains a bullish perspective as long as is trading above the fourth warning line (WL4), a only a valid breakdown below this level will confirm a larger drop.
Get The News You Want
Brent Oil breakout in play, buying opportunity?
Brent edges higher and is trading much above the 50% retracement level, a retest of this level will give us a very good buying opportunity, the next upside target will be at the sliding line (SL). A larger rebound will be confirmed after a valid breakout from the descending channel’s body.
Is on a declining path as long as is trading within the descending channel’s body, technically was expected to drop further after the failure to stay above the ML and above the 61.8% retracement level. The current bounce back is natural as the rate failed to reach the downside targets from the 38.2% retracement level and the 50% Fibonacci line
Risk Disclaimer: Trading in general is very risky and is not suited for everyone. There is always a chance of losing some or all of your initial investment/deposit, so do not invest money you can afford to lose. You are strongly advised to carry out your independent research before making any trading decisions. All the analysis, market reports posted on this site are only educational and do not constitute an investment advice or recommendation to open or close positions on international financial markets. The author is not responsible for any loss of profit or damage which may arise from transactions made based on any information on this web site.
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.