Free Trial

Shallow Corrective Bounce

GBPUSD TECHS
  • RES 4: 1.2506 1.382 proj of the Sep 26 - Oct 5 - Oct 12 price swing
  • RES 3: 1.2401/2448 High Feb 2 / High Jan 23 and the bull trigger
  • RES 2: 1.2265 High Feb 3
  • RES 1: 1.2199 20-day EMA
  • PRICE: 1.2106 @ 06:08 GMT Feb 10
  • SUP 1: 1.1961/1947 Low Feb 7 / 200-dma
  • SUP 2: 1.1842 Low Jan 6 and a reversal trigger
  • SUP 3: 1.1859 3.0% 10-dma envelope
  • SUP 4: 1.1800 Round number support

GBPUSD maintains a softer tone despite the recovery from Tuesday’s low - a shallow correction so far. Recent weakness reinforces a S/T bearish theme and signals scope for a continuation. Sights are on the 200-dma at 1.1947. A move through this level would expose key support at 1.1842, the Jan 6 low. A break of 1.1842 would highlight a potential trend reversal and a double top. Firm resistance is 1.2265, Feb 3 high. Key resistance is 1.2448, Jan 23 high.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.