GBP/USD completes the Gartley, DXY selling to retest the pattern
GBP/USD had strong selling pressure after reaching the minimum bearish Gartley requirement at 1.2600 yesterday.
This resulted in a bearish Outside Candle being posted on the daily chart. Although this candle formation often highlights the top of a trend and the start of a new downward bias, with the DXY still pushing lower toward its support level, we must express mild caution.
DXY - will complete the bullish Butterfly formation at 102.70. This is -0.21% from the current price.
GBPUSD - the Gartley resistance zone is between 1.2600 and 1.2610. A +0.21% move from current levels would take GBP/USD 1.2585.
The main driver of price action today is going to be the US inflation figures (consumer price index) at lunchtime today.
Looking at our currency pairs for US Dollar correlation, the bias is for limited selling in DXY.
This resulted in a bearish Outside Candle being posted on the daily chart. Although this candle formation often highlights the top of a trend and the start of a new downward bias, with the DXY still pushing lower toward its support level, we must express mild caution.
DXY - will complete the bullish Butterfly formation at 102.70. This is -0.21% from the current price.
GBPUSD - the Gartley resistance zone is between 1.2600 and 1.2610. A +0.21% move from current levels would take GBP/USD 1.2585.
The main driver of price action today is going to be the US inflation figures (consumer price index) at lunchtime today.
Looking at our currency pairs for US Dollar correlation, the bias is for limited selling in DXY.