13 May 2015
GBP/USD technicals point towards additional gains – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, notes technicals remain in favour of further gains for GBP/USD in spite of the pair being in the overbought territory, with nearest resistance at 1.5730.
Key Quotes
“The British Pound soared to a fresh year high of 1.5747 against the American dollar on the back of a strong jobs report in the UK, albeit a mild dovish BOE's inflation report, as the Central Bank cut its growth outlook, whilst at the same time reported it expects inflation to reach the 2.0% target by 2017. The pair fell down to a daily low of 1.5632 following this latest, but recovered most of the lost ground on the back of poor US Retail Sales figures.”
“From a technical point of view, the 1 hour chart shows that the price is recovering above its 20 SMA whilst the technical indicators are aiming higher around their mid-lines.”
“In the 4 hours chart the 20 SMA maintains its bullish slope well below the current level, whilst the RSI indicator turned slightly higher around 76, all of which favors additional gains despite the overbought readings.”
“Support levels: 1.5685 1.5640 1.5605”
“Resistance levels: 1.5730 1.5765 1.5800”
Key Quotes
“The British Pound soared to a fresh year high of 1.5747 against the American dollar on the back of a strong jobs report in the UK, albeit a mild dovish BOE's inflation report, as the Central Bank cut its growth outlook, whilst at the same time reported it expects inflation to reach the 2.0% target by 2017. The pair fell down to a daily low of 1.5632 following this latest, but recovered most of the lost ground on the back of poor US Retail Sales figures.”
“From a technical point of view, the 1 hour chart shows that the price is recovering above its 20 SMA whilst the technical indicators are aiming higher around their mid-lines.”
“In the 4 hours chart the 20 SMA maintains its bullish slope well below the current level, whilst the RSI indicator turned slightly higher around 76, all of which favors additional gains despite the overbought readings.”
“Support levels: 1.5685 1.5640 1.5605”
“Resistance levels: 1.5730 1.5765 1.5800”