GBP/USD: Broke Down Bearish Channel On Daily Chart
Maks Maksov | Jan 03, 2016 05:52AM ET
Under 1,495 -1,50 sell rallies towards 1,4325. Mind the last weekly low around 1,455. On the monthly chart the cable broke a 61,8 Fibonacci support line around 1,495. Although the 200 SMA remains rather flat, shorter terms SMAs are pointing down. This is why under 1,50 I prefer to sell rallies into resistances, to try and reach the 78,6 Fibonacci resistance at 1,4325.
On the weekly chart shows we broke a support near 1,52, which is a 23,6 Fibonacci support line. GBP/USD also broke down a minor weekly support around 1,485, and any rally into that level should be checked for selling signals. A note of caution will be the last weekly low at 1,4568. It may prove tough to break down.
Finally the daily chart : the cable just broke an ugly bearish channel. Any retest of that channel support is a good place to look for short signals.
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