28 Apr 2014
GBP/USD finds resistance post spike
FXStreet (London) - GBP/USD spiked this morning alongside the Euro, benefiting from rising risk sentiment and stop triggering, before finding resistance ahead of clustered sell orders.
With GBP/USD making a daily high and low at 1.6860 and 1.6777 respectively, spot is currently trading at 1.6845, up 0.27% on the day so far. The push higher saw cable take out the well-documented option barrier at 1.6850. Gerry Davies of FXBeat comments that he is “getting further reports of more barrier option interest at not only 1.6900 as one would expect, but also barrier option interest at 1.6875” and can see sell orders clustered around 1.6865/75.
GBP/USD Technicals bullish?
GBP/USD spot is in overbought territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bullish. Currently RSI is at 65.71, down from the last hourly print at 66.64, with ADX at 13.77, down from its previous close at 21.47. RSI is neutral at 61.77, according to the daily chart. On the hourly GBP/USD chart, the 200 SMA is climbing and currently at 1.6806, up from the previous hour close at 1.6800. Over the past 20 days, the exponential average closing price is 1.6740, and trending higher.
GBP/USD Volatility Shrinking?
On the hourly GBP/USD chart, ATR (14) is presently at 7 pips, while 2-Standard Deviation Volatility Bandwidth is expanding and currently 91 pips. Daily 2-Standard Deviation Volatility Bandwidth is at 319 pips and shrinking. The average movement for the current session over the previous four weeks has been 7 pips. Meanwhile, 13:00-14:00 GMT represents peak for volatility, with an average movement of 16 pips over the same period.
GBP/USD Levels
Resistance can be found ahead of spot at 1.6848 [Last Price], 1.6850 (Daily Classic R2), 1.6860 (Daily High), 1.6867 (Daily Classic R3), 1.6879 (Weekly Classic R2) and 1.6918 (Weekly Classic R3). To the downside we see next support at 1.6840 (Weekly Classic R1), 1.6833 (Yesterday's High), 1.6825 (Daily Classic R1), 1.6824 (Monthly High) and 1.6824 (Weekly High).
With GBP/USD making a daily high and low at 1.6860 and 1.6777 respectively, spot is currently trading at 1.6845, up 0.27% on the day so far. The push higher saw cable take out the well-documented option barrier at 1.6850. Gerry Davies of FXBeat comments that he is “getting further reports of more barrier option interest at not only 1.6900 as one would expect, but also barrier option interest at 1.6875” and can see sell orders clustered around 1.6865/75.
GBP/USD Technicals bullish?
GBP/USD spot is in overbought territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bullish. Currently RSI is at 65.71, down from the last hourly print at 66.64, with ADX at 13.77, down from its previous close at 21.47. RSI is neutral at 61.77, according to the daily chart. On the hourly GBP/USD chart, the 200 SMA is climbing and currently at 1.6806, up from the previous hour close at 1.6800. Over the past 20 days, the exponential average closing price is 1.6740, and trending higher.
GBP/USD Volatility Shrinking?
On the hourly GBP/USD chart, ATR (14) is presently at 7 pips, while 2-Standard Deviation Volatility Bandwidth is expanding and currently 91 pips. Daily 2-Standard Deviation Volatility Bandwidth is at 319 pips and shrinking. The average movement for the current session over the previous four weeks has been 7 pips. Meanwhile, 13:00-14:00 GMT represents peak for volatility, with an average movement of 16 pips over the same period.
GBP/USD Levels
Resistance can be found ahead of spot at 1.6848 [Last Price], 1.6850 (Daily Classic R2), 1.6860 (Daily High), 1.6867 (Daily Classic R3), 1.6879 (Weekly Classic R2) and 1.6918 (Weekly Classic R3). To the downside we see next support at 1.6840 (Weekly Classic R1), 1.6833 (Yesterday's High), 1.6825 (Daily Classic R1), 1.6824 (Monthly High) and 1.6824 (Weekly High).