© Dukascopy Bank SA
It has taken only five days since our latest report on the Cable and its development in the 4H chart. GBP/USD successfully reversed back to the South near 1.44 where the pair hit the upper trend-line of the pattern. This week the Sterling is a subject to substantial losses. The monthly pivot point has been penetrated, along with many other supports including all basic simple moving average lines. The nearest demand is the weekly S2 at 1.40, but it seems to be weak enough in order to provide enough upside momentum for rebound. Most likely, GBP/USD is going to head in the direction of the Feb low at 1.3836. Such a scenario is endorsed by 4H and weekly technical indicators.
© Dukascopy Bank SA