- GBP/USD Technical Strategy: Shorts Preferred
- Inverted Hammer Lacking Necessary Confirmation
- Leap Above 1.6660 Required To Suggest A Recovery
GBP/USD is left dangling by a thread as the chances of an Inverted Hammer formation fade. Against the backdrop of a sustained downtrend, a climb above the 1.6660 hurdle would likely be required to offer hopes for a more sustained recovery. In the absence of such a scenario shorts remain preferred with a crawl below the 1.6550 floor to pave the way for a descent on March lows at 1.6450.
GBP/USD: Bullish Signal Lacking Confirmation
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart tells a similar narrative to the daily. A Bullish Engulfing formation is being etched out yet awaits the close of the current candle to confirm the reversal signal. Some skepticism over further gains may also be warranted given the 1.6660 barrier looms nearby.
GBP/USD: Bullish Pattern Being Etched Out In Intraday Trade
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.
Investing NewsChina’s forex reserves dropped by a record $93.9 billion at the end of August to $3.56 trillion because the Central Bank has been selling dollars to provide a cushion to the falling yuan
ForexAmid the rising economic power of India, the talks of making the Indian currency fully convertible are gaining momentum. We look at the pros and cons.
Forex FundamentalsAs the world's second largest economy, China's challenge to America’s dominance includes a push to make the yuan (RMB), the world’s reserve currency. Whether it can do that now is unclear.
EconomicsOne particular barrier to trade that has received much attention of late and caused delays in negotiations of the TPP is exchange-rate manipulation, by which a country artificially devalues its ...
ForexBreaking news moves forex markets. Here are the top U.S. sites for tracking forex news.
InvestingAccess to financial information has grown with the expansion of digital news. Bloomberg and Thomson Reuters lead the pack, claiming a majority of the business information market.
EconomicsSouth Korea is the latest country to cut interest rates in an attempt to stimulate economic growth.
Forex EducationPeer-to-peer (P2P) currency exchange networks offer a viable and cheaper alternative for buying and selling currencies.
ForexHere is a simple breakdown of how to open an offshore forex account for US-based users, including legal requirements.
EntrepreneurshipA brief overview of the top apps that help forex traders with on time information, charts and more.