Aug 08 2018

GBPUSD – Trend Channel Support, Rebound Expected

GBPUSD:- Technical picture on daily chart is looking quite bullish (shorter period) for Sterling against the US. Dollar. The pair GBPUSD is trading in a downward sloping trend channel, in which the price action are forming lower highs with respect to lower lows. At present GBPUSD is heading towards the support zone of trend channel, which if convincingly hold by pair – it will opens the door to cover the pending correction/retracement of recent fall from 1.3200 mark. Momentum indicator, 14 day Relative Strength Index (RSI) is hovering close to its oversold territory (i:e 30 mark) – indicating the prices to reverse soon. Stochastic Slow is signalling the pair is extremely oversold as it reached below 20 (at present 7.83). Expecting a pullback from trend channel support( which comes at around 1.2860-80 mark) at least towards 1.3100 level. Any close below the trend channel, will negate the above view.