The GBP/USD pair has witnessed marginal selling pressure after failing to cross the 1.2300 hurdle in the early Tokyo session. The Cable recovered sharply on Friday after a sheer correction to near 1.2150 on the release of robust United States Employment data.
Meanwhile, the risk impulse is extremely bullish as the Federal Reserve (Fed) is still looking to trim the interest rate hike pace. The US Dollar Index (DXY) is declining toward Friday’s low of around 104.40.
On an hourly scale, Cable witnessed a significant buying interest after dropping to near November 24 high of around 1.2150 on Friday. The recovery was full of strength and it pushed Cable near the critical resistance of 1.2300.
Advancing 20-and 50-period Exponential Moving Averages (EMAs) at 1.2260 and 1.2210 add to the upside filters.
Meanwhile, the Relative Strength Index (RSI) (14) has recovered after dropping to near 40.00. A break inside the bullish range of 60.00-80.00 would trigger a bullish momentum.
For further upside, a decisive break above Friday’s high at 1.2311 will drive Cable toward June 16 high at 1.2406, followed by the round-level resistance at 1.2500.
Alternatively, a decisive drop below Wednesday’s low at 1.1900 will drag the Cable toward November 22 low at 1.1825. A slippage below the latter will drag the pair to near November 21 low at 1.1779.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.