7 Nov 2013
Flash: GBP/USD near the proximity of the 200 day MA – Commerzbank
FXstreet.com (Athens) – Karen Jones, Head Technical Analyst at Commerzbank notes that GBP/USD has reached the 61.8% retracement at 1.6122 of the move down from the 1.6255 peak.
Key Quotes
“This and the 1.6160 September peak is the maximum that we should see for a slide back to 1.5915/1.5895 to remain viable. The rally should ideally terminate circa 1.6125/60.”
“We regard the pattern as a potential double top and a close below 1.5895 will complete the pattern to offer a minimum downside measurement to 1.5535. Given the close proximity of the 200 day ma at 1.5491 to this target zone this makes a good initial downside target.”
Key Quotes
“This and the 1.6160 September peak is the maximum that we should see for a slide back to 1.5915/1.5895 to remain viable. The rally should ideally terminate circa 1.6125/60.”
“We regard the pattern as a potential double top and a close below 1.5895 will complete the pattern to offer a minimum downside measurement to 1.5535. Given the close proximity of the 200 day ma at 1.5491 to this target zone this makes a good initial downside target.”