GBP/USD Recovery Doubtful As Bullish Signal Fails To Find Confirmation

By DailyFx | August 22, 2014 AAA

DailyFX.com -

Talking Points

  • GBP/USD Technical Strategy: Shorts Preferred
  • Inverted Hammer Lacking Necessary Confirmation
  • Crawl Under 1.6550 Floor Needed To Open 1.6450

GBP/USD has been left lacking bullish reversal signals after an Inverted Hammer formation failed to find confirmation. This leaves the immediate risk lower with the potential for push past the 1.6550 barrier to open the March lows at 1.6450.

GBP/USD: Bullish Signal Fails To Find Confirmation

GBP/USD Recovery Doubtful As Bullish Signal Fails To Find Confirmation

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

Several short body candlesticks on the four hour chart denote indecision from traders near intraday support. However, the absence of key reversal formations suggests warrants some skepticism over the potential for an intraday recovery.

GBP/USD: Left Wanting For Bullish Signals Near Intraday Support

GBP/USD Recovery Doubtful As Bullish Signal Fails To Find Confirmation

4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

By David de Ferranti, Currency Analyst, DailyFX

Follow David on Twitter: @Davidde

To receive David’s analysis directly via email, please sign up here.

Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.

comments powered by Disqus
Related Forex Analysis
  1. GBP/USD claws to 1.6100 ahead of Europe
    Forex News

    GBP/USD claws to 1.6100 ahead of Europe

  2. EUR/USD glued to 1.2755; triggers are wanted
    Forex News

    EUR/USD glued to 1.2755; triggers are wanted

  3. Asia recap: most majors are still sleeping in a ranges; JPY is weakening
    Forex News

    Asia recap: most majors are still sleeping in a ranges; JPY is weakening

  4. Gold Struggling Below $1250, SPX 500 Trying to Retake 1900 Figure
    Forex News

    Gold Struggling Below $1250, SPX 500 Trying to Retake 1900 Figure

  5. US Dollar Technical Analysis: Stalling at Channel Support
    Forex News

    US Dollar Technical Analysis: Stalling at Channel Support

Trading Center