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Gains Considered Corrective

GBPUSD TECHS
  • RES 4: 1.2881 76.4% retracement of the Jul 14 - Oct 4 bear leg
  • RES 3: 1.2827 High Dec 28 and the bull trigger
  • RES 2: 1.2775 High Jan 24
  • RES 1: 1.2658 20-day EMA
  • PRICE: 1.2616 @ 05:52 GMT Feb 13
  • SUP 1: 1.2519 Low Feb 5 and the bear trigger
  • SUP 2: 1.2500 Low Dec 13
  • SUP 3: 1.2432 50.0% retracement of the Oct 4 - Dec 28 bull phase
  • SUP 4: 1.2374 Low Nov 17

GBPUSD is unchanged. A bearish condition remains intact and the latest recovery appears to be a correction. Recent weakness resulted in a break of 1.2597, the Jan 17 low and the base of a recent range. The confirmed range breakout strengthens a bearish condition and opens 1.2500, Dec 13 low. Initial firm resistance is at 1.2658, the 20-day EMA. Key resistance is unchanged at 1.2827, the Dec 28 high. S/T gains are considered corrective.

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