A technical overview: A quick look at the major pairs

20 June 2016, 18:39
Sherif Hasan

GBPUSD remains the main focus


The GBPUSD could not move below the 100 bar MA on the 5-minute chart and extended up to the 200 day MA at 1.4690. The prior resistance was 1.4666. Since breaking the price remains above that level. The buyers remain in control above the trend line and the 100 bar MA (blue line in the chart below at 1.46424 currently).  Closer support at 1.4666.


The EURUSD gapped above the ceiling and 38.2% retracement area.  The push higher extended to and through the topside trend line, the 50% at 1.13562, the swing high going back to Feb at 1.1375.  That should have been good enough for a run to the June highs...but that was not to be.

The price has moved back below those key topside break levels and moved toward filling the gap.

Looking at the hourly chart, the pair has support from prior highs at 1.1295-1.1301. The 200 hour MA come in at 1.1283.  The day has seen a gap, a move higher and a completion of the lap from the trading range.  That is not the prettiest of trading days.  If the area from 1.1295 to 1.1301 can not be filled, that would get shorts turning around. Even still traders looking to hop on the upside will likely lean against the 200 hour MA and the 38.2% retracement at the 1.12855 as a buy point.  If you like the sell side, you would need to see that broken (and then the 100 hour MA and 50% retracement.  It can go either way but lots of support is approaching that should find buyers on the first look.

Share it with friends: