FxWirePro: Cable Oscillates in Topsy-Turvy Trend, Break Below 1.4462 to Resume Bears Business in Action
We had explicitly made a mention in the below statement, now see what has happened:
“Breaks resistance at 1.4573 levels but sustenance is questionable, but don’t jump into conclusion wait for confirmation, short term aggressive bulls can initiate longs for major targets upto 1.4645.”
This is what was cautioned, although 1.4573 was broken and spiked above, it hasn’t been able to sustain there, this week break below was channel resistance would bring in more bearish pressures.
On daily charts, after the rejection of resistance at 1.4645 levels bearish trend is back in business.
Leading oscillators have been converging to these slumps on daily.
RSI: Currently, RSI (14) trending below 55 levels converging to the price dips from last three days, intensified selling momentum signals downward targets.
Stochastic: Bears are trying to take over the rallies again as the slow stochastic noises with extreme selling pressures as %D line crosses over %K above overbought levels (current %D line flashes at 59.0656).
In between this bearish journey, the current price has slid below 7DMA & 21EMA on daily and weekly charts respectively.
Major downtrend has been drifting through sloping channel.
After disappointing PMIs in all sectors (manufacturing, construction and service), sterling has begun losing back against majors.
Trade tips: One touch binary puts derive speculative objectives for intraday horizon, while stay short in near month futures for 80-100 pips targets with strict stop loss at 1.4373 levels.
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