GBP/USD Price Recap
1.28961 (USD) was the opening price of the day for GBP/USD, resulting in yesterday being a day in which price moved down 109 pips 0.84% from the day prior. The price move occurred on stronger volume, as measured by the number of tick price changes; specifically, yesterday’s volume was up 6.51% from the day prior, and up 133.47% from the same day the week before. Relative to other instruments in the Forex asset class, GBP/USD ranked 39th yesterday in terms of percentage price change. Here is a price chart of GBP/USD.
GBP/USD Technical Analysis
Moving average crossovers are always interesting, so let’s start there: GBP/USD crossed below its 20 and 100 day moving averages yesterday. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 100 day average, which is 65.6 pips away. The clearest trend exists on the 30 day timeframe, which shows price moving down over that time. Or to simplify this another way, note that out of the past 10 days GBP/USD’s price has gone down 6 them. Also, candlestick traders! Note we see bearish engulfing pattern appearing here as well.
The View From Around the Web
We’re seeing some traders come out with interesting conviction on GBPUSD, with 9 buy signals on our radar and 7 sell signals. This imputes a buy/sell ratio of 1.29, which is bullish. As for the rationale, technical traders seem to be citing the appearance of channel and trendline technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.
The pair has been on the bearish trend for awhile now, from daily time frame you can see a bearish engulfing candlestick price action pattern at the upper trendline price level 1.30230, this with the bearish trend connote the price will move down to the lower trendline at 1.28350….Bias: SELL @ CURRENT PRICE 1.29166 TARGET 1.28552 SL 1.2965