22 Jul 2015
GBP/USD: Making lower lows on the daily sticks - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that GBP/USD ended the day pretty much unchanged, around 1.5550.
Key Quotes:
"Although, on a daily basis, The pair has posted a lower high and a lower low, which keeps the risk towards the downside alive."
"In the fundamental front, the UK public finances continued to improve, as the British government borrowing fell in June to £9.4B, but the data failed to boost the GBP."
"Short term, the 1 hour chart presents a neutral technical stance, with the price hovering around a mild bearish 20 SMA and the technical indicators lacking directional strength around their mid-lines."
"In the 4 hours chart however, the downside potential remains intact, as the 20 SMA has declined further above the current price, and now converges with the 23.6% retracement of the latest bullish run around 1.5590, whilst the technical indicators maintain their bearish slopes well into negative territory, supporting a downward continuation towards the 1.5460 level, the 61.8% retracement of the same rally."
Key Quotes:
"Although, on a daily basis, The pair has posted a lower high and a lower low, which keeps the risk towards the downside alive."
"In the fundamental front, the UK public finances continued to improve, as the British government borrowing fell in June to £9.4B, but the data failed to boost the GBP."
"Short term, the 1 hour chart presents a neutral technical stance, with the price hovering around a mild bearish 20 SMA and the technical indicators lacking directional strength around their mid-lines."
"In the 4 hours chart however, the downside potential remains intact, as the 20 SMA has declined further above the current price, and now converges with the 23.6% retracement of the latest bullish run around 1.5590, whilst the technical indicators maintain their bearish slopes well into negative territory, supporting a downward continuation towards the 1.5460 level, the 61.8% retracement of the same rally."