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20 Dec 2013
GBP/USD topped out Wednesday – now in correction mode according to technicians
FXstreet.com (Barcelona) - The GBP/USD is very slightly lower on the session early Friday after consolidating a bit on Thursday following the potential reversal that occurred late in Wednesday’s session.
GBP/USD traders to focus on GDP data from Britain and the US – along with other data
Wednesday’s early session rally in GBP/USD may have been “it” as far as upside for the most recent move. The peak for that session met all technical projections for the fifth wave in the intermediate-term sequence. What should transpire now is a correction that takes the cross lower for a little while – until one or more Fibonacci retracement levels are tested (see below for price levels).
Friday’s schedule of data that could have a material impact on the GBP/USD includes:
• Bank of England Quarterly Bulletin
• British Consumer Confidence
• British GDP
• British Total Business Investment
• US GDP
• US Personal Consumption Expenditure
• US Nomination Vote for Yellen
Technical outlook for GBP/USD
Technicians say that GBP/USD at the very least put in a short-term top and that a corrective move lower to 1.6089 should take place. The obvious resistance for GBP/USD comes in at Wednesday’s high of 1.6483. Initial support comes in at Tuesday’s intraday low of 1.6216 but the more meaningful targets start at 1.6089 and continue all the way down to 1.5456.
GBP/USD traders to focus on GDP data from Britain and the US – along with other data
Wednesday’s early session rally in GBP/USD may have been “it” as far as upside for the most recent move. The peak for that session met all technical projections for the fifth wave in the intermediate-term sequence. What should transpire now is a correction that takes the cross lower for a little while – until one or more Fibonacci retracement levels are tested (see below for price levels).
Friday’s schedule of data that could have a material impact on the GBP/USD includes:
• Bank of England Quarterly Bulletin
• British Consumer Confidence
• British GDP
• British Total Business Investment
• US GDP
• US Personal Consumption Expenditure
• US Nomination Vote for Yellen
Technical outlook for GBP/USD
Technicians say that GBP/USD at the very least put in a short-term top and that a corrective move lower to 1.6089 should take place. The obvious resistance for GBP/USD comes in at Wednesday’s high of 1.6483. Initial support comes in at Tuesday’s intraday low of 1.6216 but the more meaningful targets start at 1.6089 and continue all the way down to 1.5456.