GBP/USD 4 Hour Price Update
Updated May 25, 2020 09:10 PM GMT (05:10 PM EST)
The choppiness in the recent four-hour candle price action of GBP/USD continues; to start the current 4 hour candle, it came in at a price of 1.2193, down 5 pips (0.04%) since the last 4 hour candle. Relative to other instruments in the Forex asset class, GBP/USD ranked 32nd the last 4 hour candle in terms of percentage price change.
GBP/USD End of Day Recap
Updated 00:30 GMT (04:30 EST)
A moment of silence, please, for the end of GBP/USD’s 4 day down streak; price ended yesterday up 26 pips (0.21%) to finish the day at a rate of 1.21837. Relative to other instruments in the Forex asset class, GBP/USD ranked 4th yesterday in terms of percentage price change. Below is a price chart of GBP/USD.
GBP/USD Technical Analysis
Coming into today GBP/USD is now close to its 20 and 50 day averages, located at 1.2275 and 1.2359 respectively, and thus may be at a key juncture along those timeframes. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving down. For additional context, note that price has gone down 9 out of the past 14 days.
The View From Around the Web
We’re seeing some traders come out with interesting conviction on GBPUSD, with 7 buy signals on our radar and 19 sell signals. This imputes a buy/sell ratio of 0.37, which is bearish. As for the rationale, technical traders seem to be citing the appearance of flag 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.
After a very profitable short trade in GBP/USD, it’s time to reassess our view on this pair….The 1-hour chart shows a falling trendline resistance right at the 1.22 round-number, combined with a horizontal resistance level and a hidden bearish RSI divergence….Support: 1.2160, 1.2080Resistance: 1.2250, 1.2300Flows – Bearish: Market positioning showed an increase in short pound bets, while the US dollar remained in demand as of Friday, May 22.