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15 Dec 2014
GBP/USD likely to breach 1.5750 levels – FXStreet
FXStreet (Barcelona) - FXStreet Editor and Analyst, Omkar Godbole, notes that the GBP/USD pair might breach the 1.5750 levels given the bounce off the 5-DMA line earlier today, further anticipating it to test 1.58 levels on a successful breach.
Key Quotes
“The GBP/USD pair finished largely unchanged on Friday, thereby forming a Doji candle on the daily charts. Despite the bullish crossover between the 5-DMA and the 10-DMA, the pair has been unable to extend gains above 1.5750 levels for the past two sessions. Similar action is being witnessed today as the pair struggles around 1.5750 levels, after it bounced-off from the 5-DMA support located at 1.5709 levels. Moreover, the daily RSI is still bearish at 48.28 levels.”
“Meanwhile, the hourly chart shows, the pair has consolidated in a 50-pip range of 1.57 to 1.5750. Consequently, the hourly RSI too has been stuck in a range of 60-44. Given the pair has bounced-off from the 5-DMA earlier today, it is more likely to breach the 1.5750 levels. In such a case, the pair is likely to test 1.58 levels.”
“On the other hand, a break below 1.57 may push the pair down to the 10-DMA located at 1.5676 levels.”
Key Quotes
“The GBP/USD pair finished largely unchanged on Friday, thereby forming a Doji candle on the daily charts. Despite the bullish crossover between the 5-DMA and the 10-DMA, the pair has been unable to extend gains above 1.5750 levels for the past two sessions. Similar action is being witnessed today as the pair struggles around 1.5750 levels, after it bounced-off from the 5-DMA support located at 1.5709 levels. Moreover, the daily RSI is still bearish at 48.28 levels.”
“Meanwhile, the hourly chart shows, the pair has consolidated in a 50-pip range of 1.57 to 1.5750. Consequently, the hourly RSI too has been stuck in a range of 60-44. Given the pair has bounced-off from the 5-DMA earlier today, it is more likely to breach the 1.5750 levels. In such a case, the pair is likely to test 1.58 levels.”
“On the other hand, a break below 1.57 may push the pair down to the 10-DMA located at 1.5676 levels.”