The cable low so far is right on the tech

We had a little drop through the post-BOE low at 1.3096 to touch 1.3084. The 100 DMA was sitting at 1.3078.

GBPUSD daily chart

1.3100 has become pivotal now. When above, it needs to hold as support, when below it needs to hold as resistance. That’s the best way to trade from here. Longs can lean against either 1.3100 with a stop under the 100 DMA, or have a tigher long from the 100 DMa with a stop just under.

GBPUSD 15m chart

GBPUSD 15m chart

1.3135/40 is resistance at the moment so it will take a break there to move the price up. After a wild fall like this, we need to let the levels develop.

Keep an eye also on EURGBP at another big figure of 0.8900.

 

Ryan Littlestone

Psychedelic chartist extraordinaire. Have your shades ready.
Philosophy: “Don’t be a Dick for a tick”

Read how Ryan got into trading here
Ryan Littlestone

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