Daily cloud limits upside in cable, short rallies around 1.5430
GBP/USD has been rejected at day's high by 1.5445, remains largely subdued following the release of UK construction sector activity report
Markit/CIPS construction PMI slowed again in October to 58.8, down from the previous month’s 59.9, a tad weaker than expectation at 58.9
The pair remains stuck between 1.5929 and 1.5107 since May 2015 (6 months), opened Tuesday 1.5416, traded range-bound between 1.5410-28 in Asia, and is currently at 1.5425
Daily cloud has been limiting upside in cable, the pair has not been significantly above the cloud since Aug when 1.5820 was the peak
Prices peaked at 1.5498 on Monday and corrected back inside the cloud, daily slow stochs are approaching overbought levels
Recommendation: Good to sell rallies around 1.5430, SL: 1.5510, TP1: 1.5370, TP2: 1.5310
Resistance Levels:
R1: 1.5436 (daily cloud top)
R2: 1.5479 (100 DMA)
R3: 1.55 (Trendline resistance)
Support Levels:
S1: 1.5374 (Tenkan-Sen)
S2: 1.5370 (20-DMA)
S3: 1.5308 (Oct 30 low)
Markit/CIPS construction PMI slowed again in October to 58.8, down from the previous month’s 59.9, a tad weaker than expectation at 58.9
The pair remains stuck between 1.5929 and 1.5107 since May 2015 (6 months), opened Tuesday 1.5416, traded range-bound between 1.5410-28 in Asia, and is currently at 1.5425
Daily cloud has been limiting upside in cable, the pair has not been significantly above the cloud since Aug when 1.5820 was the peak
Prices peaked at 1.5498 on Monday and corrected back inside the cloud, daily slow stochs are approaching overbought levels
Recommendation: Good to sell rallies around 1.5430, SL: 1.5510, TP1: 1.5370, TP2: 1.5310
Resistance Levels:
R1: 1.5436 (daily cloud top)
R2: 1.5479 (100 DMA)
R3: 1.55 (Trendline resistance)
Support Levels:
S1: 1.5374 (Tenkan-Sen)
S2: 1.5370 (20-DMA)
S3: 1.5308 (Oct 30 low)
Trade active:
TP1: 1.5370 has been reached. Trade active, book partial profits. Bearish setup continues.
Trade closed: target reached