GBP/USD: A much deeper setback has been launched - JPMorgan

By FXstreet.com | Updated August 04, 2014 AAA

FXStreet (Bali) - The broader GBP up-trend has been dented and looks to be due for a broader setback, notes Thomas Anthonj, FX Strategist at JP Morgan.



Key Quotes



"Falling short of coming anywhere close to the next higher resistance barrier at 1.7332 (50 %/monthly Ichimoku- lagging), Cable started retreating and broke below first support between 1.7003 (minor 38.2 %) and 1.6914 (daily trend, now resistance)."



"This weakens the bullish outlook and opened the door for a broader setback to 1.6394 (int. 38.2 % on higher scale) if not to 1.6178 (weekly breakout line)."



"Only a break above 1.7105 (minor 76.4 %) would brighten the picture, whereas breaks below 1.6695/30 (pivot/200 DMA) would reaffirm the temporary bear view."



Related Forex Analysis
  1. Weekly Trading Forecast: Volatility Keeps Boiling in the FX Market
    Forex News

    Weekly Trading Forecast: Volatility Keeps Boiling in the FX Market

  2. GBP/USD to Break Out on Less-Dovish BoE, Weak U.S. 3Q GDP
    Forex News

    GBP/USD to Break Out on Less-Dovish BoE, Weak U.S. 3Q GDP

  3. GBP/USD shifting through gears but now back into neutral
    Forex News

    GBP/USD shifting through gears but now back into neutral

  4. GBP/USD likely to be range-bound – FXStreet
    Forex News

    GBP/USD likely to be range-bound – FXStreet

  5. GBP/USD recovers ground but falters ahead of 1.57
    Forex News

    GBP/USD recovers ground but falters ahead of 1.57

Trading Center