FXStreet (Łódź) - FXStreet Chief Analyst Valeria Bednarik remarks that since yesterday's dovish Fed comments the market has been in sell dollar mode and the GBP/USD stands at fresh multiyear highs, continuing to pressure higher despite the fact that UK Retail Sales missed expectations.
"Consolidating above the 1.7000 figure, the 4 hours chart shows little upward momentum coming from technical readings, albeit price action suggest bulls are firmly in control."
"Price extends above its 20 SMA that slowly gains bullish slope, offering now short term support around 1.6970. As long as 1.7000 holds, there’s room for a test of immediate resistance of 1.7040, August 2009 monthly high. Once above this last, the short term picture points for an advance up to 1.7080/90, while 1.7250 is possible for the upcoming sessions."
"There’s not much suggesting a reversal, yet dips down to 1.6950 will likely be seen as buying opportunities, and only 100 pips below current price, below 1.6920, bears will take the lead."