Monday, 20.03.2017, 09:05

GBP/USD Surged and Profit Booked at 1.2400!

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Published in Forex

Sterling snapped a six-week falling streak against the greenback, as it added 1.83% at its value over last week. Over the next weeks sterling likely would breakout as the U.K. government could trigger Article 50. When that happens, we may see the cable to have an aggressive run probably to the downside.

The GBP/USD pair reached our second suggested target at 1.2400 psychological level that we referred to the previous analysis (see technical analysis here: http://bit.ly/2ngr8yB) but now is developing slightly lower. From the technical point of view, the pair surged above the 200-SMA on the 4-hour chart, however, is still trading below the 50 and 100 SMAs on the daily chart. If the price has a successful attempt and surpasses the latter level, it would open the door for the 1.2580 resistance barrier which is near with the 200-daily SMA. On the same timeframe, the MACD oscillator is moving above its trigger line but failed to jump above its mid-level. The RSI indicator is pointing upwards and is holding in the bullish area.

GBPUSDDaily200317

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