GBP/USD 1.5019 – 13 July 2010

GBP/USD Open 1.5018 High 1.5084 Low 1.4948 Close 1.5029

After the range trading last week, on Monday Pound/Dollar started decreasing, in converse with the Interbank sentiment at around +8%. The Cable at first descended to 1.4948 yesterday, from where it recovered the loses, rising back up to 1.5084, closing the day at 1.5029. Today dropping resumed. On the 1 hour chart the upward channel was broken downwards, while on the 3 hour chart quotes are testing the lower limit of the upward channel. First resistance is yesterday’s peak at 1.5084. Break above it should extend the bullish movement further towards 1.5200. The nearest support is yesterday’s bottom at 1.4948. Going bellow it should extend British Pound’s reduction further down towards next downward objective 1.4834. Today are the UK HICP, Retail prices, RPI-X, and Nationwide consumer confidence, at 8:30 and 23:01 GMT respectively. Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and inclining upwards, MACD is negative and tranquil, while CCI has crossed down the 100 line on the 1 hour chart, giving overall short signals.

Technical resistance levels: 1.5084 1.5200 1.5331
Technical support levels: 1.4948 1.4834 1.4700

Trading range: 1.5030 – 1.4955
Trend: Downward
Sell at 1.5019 SL 1.5049 TP 1.4969

Written by