GBP/USD outlook: Bearish bias under daily cloud top
|GBP/USD
Bears hold grip and keep the price within daily cloud for the third straight day, with cloud top acting as solid resistance and limits upticks.
Renewed probe through 1.3049 (50% retracement of 1.2664/1.3434) looks for eventual firm break here to signal bearish continuation for attack at psychological support at 1.30 (also Sep 11 higher low), which guards more significant levels at 1.2958 (Fibo 61.8%) and 1.2940 (daily cloud base).
Daily studies are weakening as negative momentum continues to strengthen and south heading daily Tenkan-sen diverges from Kijun-sen after formation of bear cross, however bears may face headwinds as stochastic emerged from oversold territory.
Near term bias is expected to remain with bears while the action stays capped by cloud top (1.3071).
Res: 1.3049; 1.3071; 1.3113; 1.3140.
Sup: 1.3000; 1.2958; 1.2945; 1.2870.
Interested in GBP/USD technicals? Check out the key levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.