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5 Jan 2015
GBP/USD might retrace to 1.5430 levels near term – Commerzbank
FXStreet (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank, expects the GBP/USD pair to retrace towards 1.5430 and 1.5575 levels in the near term, with the technicals supporting the probable rebound.
Key Quotes
“GBP/USD has continued to collapse lower and has eroded the 1.5346/21 double Fibonacci retracement (78.6% retracement of move from 2013 and the 50% retracement of the move from 2009) to reach the 1.5250 5 year uptrend if the spike lower is accurate.”
“We note the 13 count on the weekly chart and we have a time zone gap to 1.5350 which is likely to be filled.”
“We note the intraday Elliot way count on the 240 minute chart is suggesting a retracement to 1.5430/1.5575 and we would allow for this move near term.”
“We have a 6 month resistance line at 1.5605 and while capped here the market will remain directly offered. Key resistance is the 1.5855 November 2013 low.”
Key Quotes
“GBP/USD has continued to collapse lower and has eroded the 1.5346/21 double Fibonacci retracement (78.6% retracement of move from 2013 and the 50% retracement of the move from 2009) to reach the 1.5250 5 year uptrend if the spike lower is accurate.”
“We note the 13 count on the weekly chart and we have a time zone gap to 1.5350 which is likely to be filled.”
“We note the intraday Elliot way count on the 240 minute chart is suggesting a retracement to 1.5430/1.5575 and we would allow for this move near term.”
“We have a 6 month resistance line at 1.5605 and while capped here the market will remain directly offered. Key resistance is the 1.5855 November 2013 low.”