Important GBP Pairs’ Technical Checks: 13.04.2017

GBP/USD

While geo-political threats from North Korea and Syria have been dragging the US Dollar down since the week-start, the GBPUSD recently managed to claim more than a fortnight high after gradually recovering from 1.2360. However, a short-term descending trend-line connecting February and March highs, at 1.2585, presently confines the pair’s up-move, which if broken enables the quote to extend its north-run towards another downward slanting TL stretched since October, around 1.2625, and then to 200-day SMA figure of 1.2635. In case of the pair’s daily closing above 1.2635, chances of its rally targeting 1.2705-10 and 1.2745-50 can’t be denied. Should the pair fails to clear 1.2585 TL, its pullback to 1.2500 round figure, also including 38.2% Fibonacci Retracement, become imminent while its following downside may find it hard to clear 1.2420 support-confluence, including 100-day SMA and an ascending trend-line. Given the pair become Bears’ favorite and drop below 1.2420, its fresh declines towards 1.2370 and 1.2320 can be widely expected.

GBP/AUD

Having failed to extend its trend-line break beyond 200-day SMA, the GBPAUD presently rests around 100-day SMA figure of 1.6515 with higher probabilities of its 1.6485 test, including month-old ascending trend-line. Should the pair drops below 1.6485, the 1.6420 and the 1.6370 are likely following downside numbers to appear on the chart before pleasing sellers with 1.6315 and the 1.6300 round figure. Alternatively, the 1.6580 may act as immediate resistance for the pair and a close beyond that can once again propel it to challenge the 1.6635 TL prior to aiming the 200-day SMA level of 1.6725. In case if prices successfully trade above 1.6725, the 1.6760, the 1.6800 and the 1.6880 can come into buyers’ radar.

GBP/CAD

Following its reversal from 1.6680, the GBPCAD currently aims to visit 1.6570 before the 1.6530 horizontal-line limits the pair’s additional downside. Given the pair’s break of 1.6530, the 1.6500 and the 1.6470 might comeback while its following south-run may witness 1.6430 and the 1.6370 as consecutive supports. On the upside, the 1.6625 and the 1.6655 may offer adjacent resistances to the pair before 1.6680 again grabs traders’ eye. However, the quote’s further advances beyond 1.6680 may only have 1.6710 as a buffer ahead of meeting short-term descending trend-line resistance of 1.6735 which is likely to restrict its recovery. If at all buyers propel prices to surpass 1.6735, it becomes wise to expect 1.6785 and the 1.6820 levels when being long.

GBP/CHF

With a successful break above 200-day SMA, GBPCHF seems all set to claim 1.2600 before the 1.2650-55 resistance-confluence, comprising adjacent channel resistance and a horizontal-line, restrict its additional advances. Should buyers dominate prices and help them to surpass 1.2655, chances of witnessing pair’s rally aiming 1.2700 and the 1.2750-55 become higher. Meanwhile, a daily close below 200-day SMA level of 1.2555 can trigger the pair’s pullback to 1.2510 and then to the 1.2485. However, 50-day SMA level of 1.2440 and the channel support-line of 1.2400 would become important during the pair’s extended downside below 1.2485. If the quote drops below 1.2400, it becomes vulnerable enough to plunge towards 1.2345 and then to 1.2305 – 1.2300 support-zone.

Cheers and Safe Trading,
Anil Panchal