24 Jan 2014
Flash: GBP/USD major resistance but no sell signal - Commerzbank
FXstreet.com (Edinburgh) - Karen Jones, Head of Technical Analysis at Commerzbank notes that GBP/USD is in marginal new highs for the year and while she acknowledges further upside probes look likely, she has doubts that these will be maintained.
Key Quotes
“The market has recently broken up from a small falling wedge pattern, which offers a possible upside measured target to 1.6690.”
“We are currently eroding the 1.6635 200 month ma and we have a long term pivot line at 1.6657 we suspect that the market will struggle to make much impression above this mid 1.6600 region.”
“BUT we do not yet have a sell signal and will revert to the sidelines as my intraday charts are suggesting scope to 1.6780 and possibly 1.6900.”
“We have re-drawn the support line and will assume an upside bias above 1.6364. initial support lies at 1.6516.”
Key Quotes
“The market has recently broken up from a small falling wedge pattern, which offers a possible upside measured target to 1.6690.”
“We are currently eroding the 1.6635 200 month ma and we have a long term pivot line at 1.6657 we suspect that the market will struggle to make much impression above this mid 1.6600 region.”
“BUT we do not yet have a sell signal and will revert to the sidelines as my intraday charts are suggesting scope to 1.6780 and possibly 1.6900.”
“We have re-drawn the support line and will assume an upside bias above 1.6364. initial support lies at 1.6516.”