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Testing The 50-Day EMA

GBPUSD TECHS
  • RES 4: 1.4420 2.0% 10-dma envelope
  • RES 3: 1.4377 High Apr 17, 2018 and a key resistance
  • RES 2: 1.4315 High Apr 18, 2018
  • RES 1: 1.4203/48 High Jun 3 / High Jun 1 and the bull trigger
  • PRICE: 1.4086 @ 06:04 BST Jun 16
  • SUP 1: 1.4041 50-day EMA
  • SUP 2: 1.4034/06 Low Jun 15 / May 13 and key support
  • SUP 3: 1.3972 Low May 10
  • SUP 4: 1.3858 Low May 6

GBPUSD conditions deteriorated Tuesday, with prices testing the 50-day EMA at 1.4041. A clear break of the EMA would expose the May 13 low of 1.4006. From a trend perspective, the outlook is bullish. The probe on Jun 1 of 1.4237, Feb 24 high reinforced a bullish theme however a clear break is required to confirm a resumption of the trend. This would open 1.4315, April 18 2018 high. Weakness below 1.4006 would signal a S/T reversal instead.

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