8 Jul 2014
GBP/USD clawing back losses on the day
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained the GBP/USD ends the day unchanged, after posting a 6-day low of 1.7084 on the back of disappointing manufacturing and industrial production data in the UK early Europe.
Key Quotes:
“Nevertheless, bulls shown they are still in charge, seizing their chances and quickly pushing price back above 1.7100. The hourly chart still lacks upward strength, as per price barely above a still bearish 20 SMA and indicators flat around their midlines”.
“In the 4 hours chart price failed to overcome 20 SMA currently around 1.7140 an immediate resistance, while indicators turned higher but remain below their midlines”.
“A steady advance beyond 1.7140 is then required to confirm at least a retest of 1.7180 this year high, while risk to the downside will likely increase on a break below 1.7060, 23.6% retracement of the latest daily run”.
Key Quotes:
“Nevertheless, bulls shown they are still in charge, seizing their chances and quickly pushing price back above 1.7100. The hourly chart still lacks upward strength, as per price barely above a still bearish 20 SMA and indicators flat around their midlines”.
“In the 4 hours chart price failed to overcome 20 SMA currently around 1.7140 an immediate resistance, while indicators turned higher but remain below their midlines”.
“A steady advance beyond 1.7140 is then required to confirm at least a retest of 1.7180 this year high, while risk to the downside will likely increase on a break below 1.7060, 23.6% retracement of the latest daily run”.