30 Jan 2015
GBP/USD negative bias below downtrend – Commerzbank
FXStreet (Barcelona) - According to Karen Jones, Head of Technical Analysis at Commerzbank, GBP/USD has a negative bias below the downtrend at 1.5363, with the pair supported by 1.4813 levels.
Key Quotes
“GBP/USD again sold off – this was not enough to trigger another leg lower and we suspect that the market is still sidelined.There was a large divergence of the daily RSI on this move to a move to a new low and we would allow for a corrective rebound back towards the 1.5363 downtrend.”
“Near term rallies are expected to find initial resistance at 1.5300, but key resistance is the downtrend at 1.5363, while capped here, our negative bias will remain entrenched.”
“Above the downtrend, key resistance is the 1.5855 November 2013 low, however corrective rallies are expected to terminate ahead of here circa 1.5400/1.5685.”
“The support zone down to 1.4813 is considered to be the major break down point longer term to 1.4290/30.”
“Note the 1.4910/1.4813 zone represents a long term Fibonacci retracement and the 2013 low.”
Key Quotes
“GBP/USD again sold off – this was not enough to trigger another leg lower and we suspect that the market is still sidelined.There was a large divergence of the daily RSI on this move to a move to a new low and we would allow for a corrective rebound back towards the 1.5363 downtrend.”
“Near term rallies are expected to find initial resistance at 1.5300, but key resistance is the downtrend at 1.5363, while capped here, our negative bias will remain entrenched.”
“Above the downtrend, key resistance is the 1.5855 November 2013 low, however corrective rallies are expected to terminate ahead of here circa 1.5400/1.5685.”
“The support zone down to 1.4813 is considered to be the major break down point longer term to 1.4290/30.”
“Note the 1.4910/1.4813 zone represents a long term Fibonacci retracement and the 2013 low.”