GBP/USD stays bearish, next target at 1.2675 – UOB

Cable’s stance remains bearish and risks further decline to the next target at 1.2675 in the near term., according to FX Strategists at UOB Group. Ke  |  10/08/2018 09:55

Cable’s stance remains bearish and risks further decline to the next target at 1.2675 in the near term., according to FX Strategists at UOB Group.

Key Quotes

24-hour view: “GBP extended its decline and hit a fresh multi-month low of 1.2819 yesterday (09 Aug). While severely oversold, there is no sign that the current weakness is about to stabilize just yet and from here, further decline towards the next major support at 1.2775 would not be surprising. For today, we do not expect a sustained break below this level (next support is at 1.2735). On the upside, a break of 1.2880 would indicate that the current weakness has stabilized (minor resistance is at 1.2855)”.

Next 1-3 weeks: “We have held a ‘negative’ view on GBP since last Friday (03 Aug, spot at 1.3015) and added on Tuesday (07 Aug, spot at 1.2945) “downward momentum has increased further and the immediate risk is still on the downside”. As indicated, a break of the strong 1.2880 support would suggest that a move towards the next major support at 1.2775 has started. In other words, the ‘negative’ outlook is upgraded to ‘bearish’ upon the break of 1.2880 even though the rapid decline is already not that far from the 1.2775 ‘target’ (overnight low of 1.2819). The next support below 1.2775 is at 1.2675. On the upside, the ‘stop-loss’ level is at 1.2940. On a shorter-term note, 1.2880 is already a strong resistance”.

Share

Popular News

Show More Popular News

Sentiment

Open a Demo Account Open A Live Account

Losses can exceed deposits

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com