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Reverses Off Resistance

GBPUSD TECHS
  • RES 4: 1.4017 High Mar 4 and key resistance
  • RES 3: 1.3959 High Mar 19
  • RES 2: 1.3953 50% Retracement Feb - Mar Downleg
  • RES 1: 1.3919/21 High Apr 6 / Former channel bull channel base
  • PRICE: 1.3752 @ 16:55 GMT Apr 7
  • SUP 1: 1.3729 Low Apr 7
  • SUP 2: 1.3706 Low Mar 30
  • SUP 3: 1.3670/63 Low Mar 25 / Low Feb 5
  • SUP 4: 1.3641 38.2% retracement of the Sep 23 - Feb 24 bull cycle

Despite starting the week on a firmer note, GBPUSD found resistance just above the 1.39 handle and has reversed since. This works against the bullish argument, despite price breaching a short-term trendline resistance drawn off the Feb 25 low earlier in the week. The bull channel base was cleared Mar 23 and intersects at 1.3921 Wednesday. A break through the Mar 30 low at 1.3706 opens a deeper decline toward 1.3670.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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