GBP/USD – Pair drops to 50-DMA as expected, what’s next?
As noted in Friday’s update - GBP/USD – Bearish cloud cover & ‘J curve’ theory – the pair has dropped to 50-DMA. The pair clocked a low of 1.3138 and was trading around the 50-DMA level of 1.3154.
What’s next?
The spot appears on track to test 1.3059 (Aug 30 low) especially if the day end close is below 50-DMA level of 1.3154. Overall, the bearish mood is likely to persist, courtesy of - Dark could cover followed by two-day sell-off… followed by a big drop on Tuesday.
Short-term bearish invalidation is seen only if the spot sees a day end close above 1.3279 (Aug 26 high).
What’s next?
The spot appears on track to test 1.3059 (Aug 30 low) especially if the day end close is below 50-DMA level of 1.3154. Overall, the bearish mood is likely to persist, courtesy of - Dark could cover followed by two-day sell-off… followed by a big drop on Tuesday.
Short-term bearish invalidation is seen only if the spot sees a day end close above 1.3279 (Aug 26 high).
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.