GBPUSD is making a proper break into 1.4000

1.4079 has just traded as the GBPUSD runaway train continues down the track.

GBPUSD weekly chart

GBPUSD weekly chart

The break of the 38.2 fib of the 2014 swing is a big warning to long-held shorts, as it now puts the focus on the 50,0 fib at 1.4588. The 2016 pre-Brexit vote period is now where we’ll find the next bit of traffic. The levels that stick out are at 1.4100, 1.4200/20 and 1.4320/30. The 200 WMA sits at 1.4403.

Today’s catalyst is pure USD weakness, which has been aided by the break below 110.00 in USDJPY, and US Treasury Sec Mnuchin just now saying that a weaker dollar is good for the US, and that they think about a trade war everyday.

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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