8 Jan 2015
GBP/USD selloff expected below 1.50 – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, expects a break below 1.50 levels to fuel the GBP/USD selloff and send the pair lower to test 1.4940/60 levels in the short term.
Key Quotes
“Pound extends its decline against the greenback this Thursday, with the GBP/USD pair reaching fresh multi-month lows below 1.5050 as of writing, and ahead of BOE monthly economic meeting.”
“Technically, the 4 hours chart shows that technical indicators maintain a strong bearish momentum, despite RSI stands at extreme oversold readings around 18. The 20 SMA in the same time frame has extended its decline currently acting as dynamic resistance around 1.5170, while the pair has so far set a daily low of 1.5033.”
“Although there is scope for a test of the 1.50 figure in the short term, the level may attract buying interest if reached and trigger a bounce, yet if this last holds below 1.5100, risk will remain to the downside.”
“A break below 1.50 on the other hand should fuel the selloff and send the pair down to 1.4940/60 area in the short term.”
Key Quotes
“Pound extends its decline against the greenback this Thursday, with the GBP/USD pair reaching fresh multi-month lows below 1.5050 as of writing, and ahead of BOE monthly economic meeting.”
“Technically, the 4 hours chart shows that technical indicators maintain a strong bearish momentum, despite RSI stands at extreme oversold readings around 18. The 20 SMA in the same time frame has extended its decline currently acting as dynamic resistance around 1.5170, while the pair has so far set a daily low of 1.5033.”
“Although there is scope for a test of the 1.50 figure in the short term, the level may attract buying interest if reached and trigger a bounce, yet if this last holds below 1.5100, risk will remain to the downside.”
“A break below 1.50 on the other hand should fuel the selloff and send the pair down to 1.4940/60 area in the short term.”