FXStreet (Edinburgh) - The pair would keep the offered tone as long as it trades below the 1.6782 level, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.
“GBP/USD has tested and is now bouncing off the 200 day moving average at 1.6668”.
“This minor rebound from here is indicated to terminate ahead of or at the seven week downtrend line at 1.6782. While capped by it, GBP/USD will remain directly offered”.
“Targets below the 1.6658 recent low are the 61.8% Fibonacci retracement at 1.6611, the 1.6585 late February low and the 1.6558 April low en route to the 1.6467/54 March low and 78.6% Fibonacci retracement”.
“Longer term we eventually look for losses back to 1.6000”.