British Pound: USD/GBP (GBP=X) looks as if it is struggling to get above the psychologically and structurally important 1.30 level
The British pound has pulled back slightly during the trading session on Wednesday, as we continue to see a lot of choppiness in this general vicinity. The 1.29 level seems to be a bit of a fulcrum for price, and of course the 1.30 level is massive resistance, and as a result it’s likely that we will continue to bang up against that level, but once we do break through it will shoot straight up in the air based upon the inertia that’s building up.
Something worth paying attention to is that during the Tuesday session there was massive US dollar strength, but the British pound simply sat still. That in and of itself tells you that there is a lot of bullish pressure underneath, and therefore we should eventually get that breakout that I was looking for. The 200 day EMA underneath will offer support, and of course the possibility of a “golden cross” as the 50 day EMA is sloping higher is still obvious, and that of course is a longer-term “buy-and-hold” type of situation.
Overall, the bias in prices is: Upwards.
By the way, prices are vulnerable to a correction towards 1.26.
The projected upper bound is: 1.31.
The projected lower bound is: 1.26.
The projected closing price is: 1.29.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 5 black candles for a net of 1 black candles. During the past 50 bars, there have been 25 white candles and 24 black candles for a net of 1 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 29.5874. This is not an overbought or oversold reading. The last signal was a sell 10 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 59.61. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 11 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -60. This is not a topping or bottoming area. The last signal was a sell 11 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 6 period(s) ago.
Rex Takasugi – TD Profile
FOREX GBP= closed down -0.003 at 1.285. Volume was 23% below average (neutral) and Bollinger Bands were 1% narrower than normal.
Open High Low Close Volume___
1.288 1.290 1.284 1.285 88,957
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 1.29 1.25 1.27
Volatility: 5 12 10
Volume: 104,436 114,228 137,630
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX GBP= is currently 1.2% above its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume into GBP= (mildly bullish). Our trend forecasting oscillators are currently bullish on GBP= and have had this outlook for the last 17 periods. our momentum oscillator has set a new 14-period low while the security price has not. This is a bearish divergence.
Latest posts by HEFFX Australia (see all)
- Euro: EUR/USD (EUR=X) Faces Solid Resistance - October 22, 2020
- Metastock Terminal Data on Strong JPY and Weak USD Means Sell USD/JPY (JPY=X) - October 22, 2020
- Paypal Kicks Off Bitcoin: BTC/USD (BTC=X) Bull Run - October 22, 2020