GBP/USD: Failing Bullish Expectations
ICN.com | Aug 20, 2014 07:03AM ET
The pair dropped yesterday and broke 1.3330 levels indicating that the correction became sideways, as the downside move currently extended and could reach 61.8% correction at 1.3230 showing on graph.
Trading below 1.3375 strengthens the bearish possibility, and without breaching 1.3420, negativity remains available.
The pair dropped failing the bullish expectations taking the pair to trade below 23.6% correction at 1.6630. Stabilizing below the referred to level extends the downside move, whereas based on Fibonacci rules, breaking 23.6% correction pushes the pair to touch 38.2% correction.
As for today, trading below 1.6700 is negative but stabilizing below 1.6630 is more negative. Trading below 1.6600 extends the downside move.
Get The News You Want
The pair moved sharply to the upside and is currently trading above 103.00. Stabilizing above 102.90 strengthens the possibility of extending the upside move, as the pair is currently targeting retesting the resistance 104.00, and breaching it could extend bullishness.
Only a break below 102.05 fails the bullish wave, but intraday, stabilizing above 102.50 is significant to keep the upside move valid without any deep corrections.
AUDUSD has moved bearishly and it is currently trading below 0.9310-support turned into resistance- as seen on the provided chart. Coming below 23.6% Fibonacci in addition to stabilizing below moving averages is a negative catalyst; particularly after failing to penetrate 0.9340 once again. However, we will be neutral today as far as trading remains above the key support at 0.9360-0.9350.
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.