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14 May 2015
GBP/USD sees scope for further gains – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, notes technicals suggest that GBP/USD sees further room to the upside before a downward correction begins.
Key Quotes
“The GBP/USD pair rose up to 1.5814, extending its advance. The pair is short term overbought as it has added over 700 pips ever since bottoming at 1.5088 before the UK general elections, and some bearish divergences are seen, albeit they are yet to be confirmed.”
“Having retreated below the 1.5800 level ahead of the US data, the 1 hour chart shows that the price consolidates near the high, and above a bullish 20 SMA that provides immediate short term support around 1.5760, whilst the technical indicators turned slightly lower, diverging from price action.”
“In the 4 hours chart higher highs are seen candle after candle, albeit the momentum indicator is posting lower highs in positive territory, and the RSI hovers around 79, suggesting there's still room for additional advances before a downward corrective movement begins.”
“Support levels: 1.5760 1.5720 1.5685”
“Resistance levels: 1.5810 1.5845 1.5890”
Key Quotes
“The GBP/USD pair rose up to 1.5814, extending its advance. The pair is short term overbought as it has added over 700 pips ever since bottoming at 1.5088 before the UK general elections, and some bearish divergences are seen, albeit they are yet to be confirmed.”
“Having retreated below the 1.5800 level ahead of the US data, the 1 hour chart shows that the price consolidates near the high, and above a bullish 20 SMA that provides immediate short term support around 1.5760, whilst the technical indicators turned slightly lower, diverging from price action.”
“In the 4 hours chart higher highs are seen candle after candle, albeit the momentum indicator is posting lower highs in positive territory, and the RSI hovers around 79, suggesting there's still room for additional advances before a downward corrective movement begins.”
“Support levels: 1.5760 1.5720 1.5685”
“Resistance levels: 1.5810 1.5845 1.5890”