GBP/USD Eyes Further Declines With Reversal Candlesticks Absent
- Strategy: Short, Stop: 1.5770 (Close), Target: 1.5450
- Lack Of Reversal Signals Casts Risks Lower
- Intraday Chart Casts Doubt On A Bounce
GBP/USD continues its descent with a void of bullish reversal signals keeping the immediate risk lower. The push past the 1.5790 target alongside a short-term downtrend has opened the prospect of a descent on the 1.5425 floor (the late August ’13 low).
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart reveals a steady drift lower for the Cable with a lack of reversal signals. This suggests a corrective bounce over the session ahead is questionable.
GBP/USD: Steady Drift Lower Leaves Void Of Reversal Patterns
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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