GBP/USD intraday technical levels and trading recommendations for July 16, 2013
July 16, 2013 1:54 pm
The cable witnessed a rapid fall towards 1.5025, breaking the corrective uptrend line which came to meet the pair around 1.5150 then support zone around 1.5000-1.5020.
The psychological support around 1.5000 was broken too, supported by the positive fundamental data that was released then.
On Wednesday, while the pair was consolidating near support area extending down to 1.4830 (the low of March), strong bullish price action was expressed as expected to push the pair again above 1.5050 recording a high at 1.5220 when the pair expressed some bearish rejection towards 1.5050 again.
The cable has been trapped between 1.5050 and 1.5180 for three successive days now. Breakout in either direction will clarify the bias of the market.
On Wednesday we mentioned that we need to see the сable stepping above 1.4950-1.5000 ( channel breakout ) in order to achieve further corrective movement towards 1.5180 that was reached.
Price Level 1.5180-1.5200 constitutes a strong supply zone, which provided a SELL entry as suggested, now SL should be lowered to be placed above 1.5200 (entry level).
Bears need to break down 1.5030 (significant demand zone) in order to collect sufficient bearish pressure for further lower targets. Otherwise, our sell entry may be threatened early.
Price Level 1.4950 should be watched for a counter-trend BUY entry as it corresponds to the backside of the broken bearish channel and previous double bottom pattern.
The material has been provided by InstaForex Company – www.instaforex.com
The cable witnessed a rapid fall towards 1.5025, breaking the corrective uptrend line which came to meet the pair around 1.5150 then support zone around 1.5000-1.5020.
The psychological support around 1.5000 was broken too, supported by the positive fundamental data that was released then.
On Wednesday, while the pair was consolidating near support area extending down to 1.4830 (the low of March), strong bullish price action was expressed as expected to push the pair again above 1.5050 recording a high at 1.5220 when the pair expressed some bearish rejection towards 1.5050 again.
The cable has been trapped between 1.5050 and 1.5180 for three successive days now. Breakout in either direction will clarify the bias of the market.
On Wednesday we mentioned that we need to see the сable stepping above 1.4950-1.5000 ( channel breakout ) in order to achieve further corrective movement towards 1.5180 that was reached.
Price Level 1.5180-1.5200 constitutes a strong supply zone, which provided a SELL entry as suggested, now SL should be lowered to be placed above 1.5200 (entry level).
Bears need to break down 1.5030 (significant demand zone) in order to collect sufficient bearish pressure for further lower targets. Otherwise, our sell entry may be threatened early.
Price Level 1.4950 should be watched for a counter-trend BUY entry as it corresponds to the backside of the broken bearish channel and previous double bottom pattern.
The material has been provided by InstaForex Company – www.instaforex.com
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