1 Jul 2013
GBP/USD stalls the decline above 1.5200
FXstreet.com (Barcelona) - Cable is last trading near session highs at 1.5222, off session lows at 1.5196, in a quite slow first Q3 Asian session. The pair recovers a small part of the losses added after five consecutive days closing in the red past week, ahead of key risk event today for the GBP/USD at 08:30 GMT in the form of UK manufacturing PMI.
As FXWW founder Sean Lee notes, there is a “strong technical support at 1.5155/80,” which represents “the 61.8% retracement of the move from 1.4830 to 1.5750 comes in at 1.5180,” the analyst said, adding: “The double bottom at 1.5000 has a neckline at 1.5155. If these support levels can hold firm for a few days this would give cable bulls an excellent risk-reward trade opportunity,” he concludes.
Immediate resistance to the upside for GBP/USD shows at May 31 highs 1.5241, followed by June 04 lows/May 21-June 28 highs at 1.5280, and June 26 lows at 1.5296. To the downside, closest support lies at Thursday's/recent session lows 1.5201/1.5196, followed by Friday's lows at 1.5164, and May 31 lows at 1.5139.
As FXWW founder Sean Lee notes, there is a “strong technical support at 1.5155/80,” which represents “the 61.8% retracement of the move from 1.4830 to 1.5750 comes in at 1.5180,” the analyst said, adding: “The double bottom at 1.5000 has a neckline at 1.5155. If these support levels can hold firm for a few days this would give cable bulls an excellent risk-reward trade opportunity,” he concludes.
Immediate resistance to the upside for GBP/USD shows at May 31 highs 1.5241, followed by June 04 lows/May 21-June 28 highs at 1.5280, and June 26 lows at 1.5296. To the downside, closest support lies at Thursday's/recent session lows 1.5201/1.5196, followed by Friday's lows at 1.5164, and May 31 lows at 1.5139.