GBP/USD – Bearish pinbar at critical resistance
Resistance – 1.4706, 1.4770-1.4782, 1.48
Support – 1.4642, 1.4616, 1.4540
Support – 1.4642, 1.4616, 1.4540
- Pair’s run up to a high of 1.4782 followed by a fall back to below previous high of 1.4770, trend line (black) level and 200 day sma led to formation of bearish pinbar candle on the daily chart.
- The spot has inched higher in early Europe to trade around 1.4690 and is looking to take out trend line (black) resistance.
- Pair’s failure to do so if followed by a drop below 200-DMA and a subsequent move below Asian session low of 1.4642 would add credence to bearish pinbar formation and open doors for a drop to major support at 1.4540.
- On the higher side, a day end closing above 1.48 is required to convince bulls about the sustainability of the current rally.
