GBP/USD Sees Historical Record Decline; Euro Falls
ICN.com | Jun 24, 2016 06:38AM ET
GBP/USD
The weekly chart shows us the historical record decline that took place in the pound-dollar exchange rate, and we find the price is currently trading at levels below the 113% Fibonacci located at 1.3680, this may be a reason for the extension of the downside move over intraday basis.
Target level located around 1.3105, but only to prove for that we need stable trading below 1.3513. Technical indicators are very negative, and supportive of the extension of the down wave. However, we recommend taking positions for traders who are unable to take high risk. Negative condition will continue as long as the pair trading below 1.4565.
- Support: 1.3700 – 1.3510 – 1.3105
- Resistance: 1.3900 – 1.4000 – 1.4300
Direction: negative below 1.3680, targeting 1.3105 and 1.3000, as long as trading below 1.4000
EUR/USD
The euro fell against the US dollar strongly, and we find it is currently trading below the rising trend line, while trading above the 50% retracement of 1.1065.
Get The News You Want
However, the possibility of extension of the downside trend will remain intact as long as the pair is trading below price 1.1200, but warn that the sharp volatility may make the risk/return ratio not suitable for most traders. Therefore, we recommend caution, and advised to avoid trading in the financial markets until conditions stabilize.
- Support: 1.0755 – 1.0935 – 1.1000
- Resistance: 1.1360 –1.1200 – 1.1135
Direction: negative below 1.1200, targeting 1.0940 and 1.0755, as long as trading below 1.1355
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.