GBP/USD: Holding Below the Averages
Here, we look at the British Pound, which is holding below its critical moving average and is still heading lower against the US Dollar. Those implementing PAMM forex strategies have been some of the biggest winners in these moves and this could continue as long as we are seeing markets make extensions.
Chart View: GBP/USD
Critical Resistance 1: 1.50000 (Channel top Resistance)
Critical Resistance 2: 1.35602(Channel Floor Resistance)
Critical Support 1: 1.2930
Critical Support 2: 1.2179
Trading Stance: Strongly Bearish
The long term weekly downtrend in GBPUSD is still in progress and recently boosted up by shocking Brexit news. The pair has been trading well within the descending channel on the weekly chart. Since the price breached the channel support zone at 1.35602 and had a bearish gap opening in this weekend we can assume that price will likely fill the gap and will go for another deep dive near the key support level 1.2930.
For now, we will wait for the price to retrace back near the channel floor which turned into resistance and looks for selling opportunity with bearish price action signal. If the first key support is breached then the pair is likely to fall in the critical support level of 1.2179. For the bullish scenario, a clear break of the channel floor resistance at 1.35602 is required. A bullish close above the channel floor will likely lead the pair towards an important key level near the channel top resistance at 1.50000. However with the bearish MA crossover, it's very unlikely that GBPUSD will fuel up to test the 100-day moving average.
Here, we look at the British Pound, which is holding below its critical moving average and is still heading lower against the US Dollar. Those implementing PAMM forex strategies have been some of the biggest winners in these moves and this could continue as long as we are seeing markets make extensions.
Chart View: GBP/USD
Critical Resistance 1: 1.50000 (Channel top Resistance)
Critical Resistance 2: 1.35602(Channel Floor Resistance)
Critical Support 1: 1.2930
Critical Support 2: 1.2179
Trading Stance: Strongly Bearish
The long term weekly downtrend in GBPUSD is still in progress and recently boosted up by shocking Brexit news. The pair has been trading well within the descending channel on the weekly chart. Since the price breached the channel support zone at 1.35602 and had a bearish gap opening in this weekend we can assume that price will likely fill the gap and will go for another deep dive near the key support level 1.2930.
For now, we will wait for the price to retrace back near the channel floor which turned into resistance and looks for selling opportunity with bearish price action signal. If the first key support is breached then the pair is likely to fall in the critical support level of 1.2179. For the bullish scenario, a clear break of the channel floor resistance at 1.35602 is required. A bullish close above the channel floor will likely lead the pair towards an important key level near the channel top resistance at 1.50000. However with the bearish MA crossover, it's very unlikely that GBPUSD will fuel up to test the 100-day moving average.