GBP USD Technical Forex Analysis for Forex Traders
Rate rallies overnight then falls back to test support in NY again, low prints at 1.3982 above major bids said to be around 1.3950 area; shorts are gaining confidence for a break under 1.4000. Rally to clear close in stops above 1.4300 and a close over the handle suggest more upside and a short-squeeze; bounce off the lows back to
1.4080/90 area suggests bids are increasing.
Two-way action between existing S/R the past 72 hours likely to continue. Stops likely building on both sides increasing the chance for whipsaw. Traders report stops in-range adding for two-way action. Long-term tech resistance now at 1.5000 area likely to cap near term but stops are building above and the 1.5000 handle is a big psychological number.
23 year lows are very likely to hold on any break with initial support now at 1.3900 in play. Two-way action continues suggesting that shorts are aggressively adding and longs are trying to find a bottom.
-Resistance 3: 1.4380
-Resistance 2: 1.4300/10
-Resistance 1: 1.4250
-Latest New York: 1.4069
-Support 1: 1.4020/30
-Support 2: 1.3950
-Support 3: 1.3900
Data due Wednesday:
All times EASTERN (-5 GMT)
-4th-6th GBP Halifax HPI m/m
-4:30am GBP Services PMI
-5:30am GBP BRC Shop Price Index y/y
Forex Analysis by Jason Alan Jankovsky at ForexPros.com. For more details about Forex Trading and Tips for decent earnings through Forex Trading, Please check http://www.forexpros.com