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M.A

GBP's Technimentals

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GBP weakened significantly against usd after touching session highs of 1.5591. Better than expected data from U.S labor department was a strong reason behind usd strength. UK construction PMI was better than expected which stopped further downward moves of gbp/usd.

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Better data from UK supported GBP to gain significant pips against usd. Expected dovish statements from FOMC also supported this rally. Even though this week has been very good for GBP, UK wont look at it as something "BIG".

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usd pulled gbp and took it below minor resistance level of 1.5470. At this time market sentiments are strongly bullish.

 

Price is expected to touch resistance zone of 1.5610.

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After touching resistance zone on Thursday, strong bearish trend in Gbp/Usd started which continued on Friday. Pair crossed support level of 1.5448 and marched towards 23-april low of 1.5197.

At this time, On daily chart, pair is trading near support trend line. A break will take it to 23-april low and next support zone is 4-aril low.

1.png.3b5b10f1f18cb080e1726decb77d23d2.png

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Support trend line is broken. Most of the traders, waiting for trend line break, have entered already.

 

Pair will face support at three points.

 

1- 1.5197 (minor)

2- 1.5034 (Intermediate)

3- 1.4832 (Major)

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A bad day for usd which made it a good day for gbp.

After touching minor support level of 1.5197 yesterday, gbp/usd bounced back. Bad fundamentals from usd supported this technical move. Pair is now expected to go bullish and may start another bearish trend after reaching near 1.5385.

 

Next support zone is around 1.5034, as written in previous post.

1.png.80954443ab6a53f518f8ba7d553b2501.png

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Much better than expected u.s data pulled gbp more than expected. It has crossed the major resistance level of 1.5197. Total movement for the day was about -122 pips.

I will post possible movements, for the next week, in my next post.

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GBP also took advantage of usd's fall against jpy. It is currently trading at 1.5225 (57 pips higher than open price).

I think price will continue to decline tomorrow because overall trend is strongly bearish. But stay on hold because price has moved up and 1.5197 is again acting as minor support. Wait for it to be broken and then enter short.

 

Tuesday's fundamentals are important

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GBP's fall continues. GBP's economic recovery is, again, doubtful. GBP ended week in significant loss against u.s and euro.

Investors are starting to loose hope about uk recovery. BOE governor is in favor of additional stepts to strengthen gbp.

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Previous month, GBP gained 340 pips against usd and this month it has lost 412 pips so far.

Economist were hoping that gbp's recovery, which started in previous month, is steady. But now those hopes are fading.

Next week we do not have any significant economic data release from U.K.

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Gbp gained minor strength against usd and eur when trading resumed this week. Later it lost to them. Due to holidays in US and UK, day has been very inactive. Pair is currently moving towards support zone of 1.5065 - 1.5070.

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Almost similar result to eur/usd. There were no fundamentals from GBP today so strong u.s data pulled gbp. gbp/usd is 21 pips away from setting a 2.5 month low.

 

Pair is heading towards 10-march low, 1.4832, which is acting as major support zone.

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Gbp/usd, almost, copied eur/usd this week. There were weak fundamentals from gbp and strong fundamentals from u.s. Both eur/usd and gbp/usd ended week with minor positive gains.

Support level, for next week, for gbp/usd is seen at current week's low of 1.5008 and resistance is seen at 1.5322.

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This week following data will be released U.K which will significantly impact GBP.

 

Monday:- Manufacturing PMI

Tuesday:- Construction PMI

Wednesday:- Services PMI

Thursday:- Interest Rate decision

Friday:- Trade Balance

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After strong data from U.K, gbp gained against major rivals.

Bad u.s data added to gbp/usd gain. Pair is currently trading at 1.5336, 141 pips higher than today's open price.

 

Eur/gbp was not much affected due to positive eur data. It is currently trading at 0.8532, 19 pips lower than today's open price.

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Even though construction data from u.k was better than expected but it didnt have significant impact on gbp against major rivals. So far it is trading lower against usd and eur.

Against usd overall trend for today remains slightly bearish which seems to be a corrective move and result of better than expected u.s trade data. Today's trading range is 70 pips so far.

eur/gbp gained around 35 pips when spanish data was released but after that it has been bearish. At this time eur/gbp is trading 5 pip above day's open. Todays trading range is around 56 pips so far.

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GBP went to almost 3 week high against USD.

Services PMI from UK was better than expected and this data was best since mar-2012 which supported gbp against rivals.

Pair has now consolidated around 1.5400. Technically short-term trend is strongly bullish. Next resistance lies at 1.5445.

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Gbp is strengthening significantly against usd since 29th-may.

 

Today gbp's housing data came better than expected and interest rate remained as expected. US jobless claims data is coming next. Keep ur eye on it.

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U.K trade balance figure came better than expected but it was unable to strengthen gbp against usd and eur. GBP remained weakened against rivals today. It has lost more than 70 pips to usd so far and around 20 pips to eur.

 

Overall trend remains bullish for gbp/usd. It is well above support trend line and indicators are favoring strong bullish trend.

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GBP remained mixed against major rivals today. gbp/usd movement was very similar to eur/usd. After release of housing data from U.K, at around 23:00gmt, we may see some significant movement.

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Gbp/usd rose above major resistance level of 1.5600 and it is trading at 1.5677 now. By looking at current scenario, it is expected to go to next resistance zone of 1.5875 to 1.5890 by the end of current week.

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There were no major economic data release from U.K today. Gbp/usd remained mix today for day traders and slightly bullish for medium term traders.

Today gbp/usd went towards 1.5616, crossing today's support level of 1.5634. Since then, it is bullish.

Today it is expected to touch resistance level of 1.5737.

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No new important fundamentals from U.K today.

After more than 200 pip fall within an hour day before yesterday, gbp/usd continued corrective moves yesterday. Today it fell again sharply crossing 1.5400 level. Corrective moves have taken it back above 1.5400 but day traders should call it off because it is not predictable anymore.

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No fundamentals from U.K today.

Gbp/usd moved almost same as eur/usd but short term bullish trend in gbp/usd is stronger than eur/usd. It has kept itself well above support trend line.

Image shows trend line and possible resistance levels.

1.png.bbe4722a839e97cd8d9dc250086f2fd7.png

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gbp/usd was unable to touch second resistance line and reversed its direction. It has lost more than 120 pips so far. It is trading near support level is 1.5274. If it crosses this support level, it will head towards next support level of 1.5193.

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