Get started

Alternate Bat

GBPUSD Technical Overview: Alt Bat Minor Pullback.Our last call was Long GBPUSD and we have reached our second target. GBPUSD ended the week at 1.28840. A Bearish Alt Bat on M30 chart indicating a small retracement. If the pair break below 1.2878, we may see the price testing 1.2863 and 1.28550. The Overview of the bigger charts: Our last call was Long GBPUSD and we have reached our second target. GBPUSD headed north but the upside is capped by Brexit uncertainties. H4 Chart: 1.2847 is the key support. The bullish move would continue as long as the pair stays above 1.2847. The upside is capped by SMA 200 and MM 3/8 at 1.29000. Break above 1.2900 would carry the pair 1.29390. If the pair fails to break above 1.2900-1.2930, bears are like to take the control back and send the pair 1.28200 and 1.27800. Daily Chart: The key resistance resides at 1.29390 MM 6/8 Major Pivot/Reverse. If the pair makes Daily closings above 1.129390, 1.3011 and 1.30615. Firm breakout of 1.30615 would confirm the midterm trend change. The next targets of the Cable bulls will be 1.31800 and 1.32200. Any intraday trade idea will be published for the members. We are holding the remaining part of our long position open targeting 1.29200 with a stop loss at the entry. Scalper may try short as mentioned above Bat Pattern. A Few Fundamental Notes: Fundamentally the UK economy showed a mixed bag of numbers over the second week of February. While the UK GDP saw the headline quarterly increase in line with market expectations for the fourth quarter of last year, the annual growth rate missed on the downside. This was underlined by a sharp fall in the UK manufacturing sector and business investment. Carney confirmed that the Brexit is the biggest uncertainty related to the UK economy and the outlook for monetary policy. These statements both confirmed the policy stance of one rate hike a year. In the week ahead, the UK labor market report is due and it is expected to confirm the tight conditions with the unemployment rate dropping to a new for decade low of 3.9% and the wages rising 3.3% over the year. On the U.S Side; the softer retail sales report will continue to haunt the USD especially as this week’s FOMC minutes remind investors that the central bank has no plans to raise interest rates soon.
by chartreader_pro