Technical Outlook – GBPJPY, GBPNZD, GBPAUD and GBPCAD

After decisively clearing an important resistance near 185.00 mark, the pair move sharply higher above 188.00 mark to test its highest level for 2015. The pair, however, seems to be facing resistance at higher levels. On the immediate downside, the pair seems more likely to hold 187.00 mark support. Failure to hold 187.00 support could extend the corrective move initially towards 186.00 intermediate support and eventually towards the very important resistance break point now turned immediate strong support near 185.00 mark, also coinciding with 23.6% Fib. retracement level of the pair’s up-swing from April lows to Wednesday’s high touched earlier during the day. Meanwhile, sustained trade above 188.00 mark now seems to pave way for an immediate up-move towards 190.00 psychological mark, which could further get extended towards its next major resistance near 192.00 region.

GBPNZD

Recent strong up-move provide the required momentum to lift the pair towards testing its highest level since March 2011. The pair is now witnessing some serious profit-taking at higher levels and hence seems to continue the corrective move towards its previous strong support now turned immediate support near 2.0900 area, also coinciding with 23.6% Fib. retracement level of April lows to over 3-year high strong move. Should the pair fail to hold this immediate support, it could possibly extend the near-term corrective move towards its next major support near 2.0700 horizontal area, which now seems to act as near-term bottom for the pair and only a decisive break below 2.0700 support might negate the possibilities of any further near-term appreciating move for the pair. On the upside, 2.1050-1100 area now seems to act as immediate resistance. Sustained trade above this immediate resistance might now provide the required momentum to clear 2.1280-1300 intermediate resistance and surpass Wednesday’s high to continue appreciating towards 2.1500 psychological mark resistance.

GBPAUD

Following a fake-out below a medium-term ascending trend-line support and a subsequent rebound from 38.2% Fib. retracement level of Sept. 2014 to Feb. 2015 up-move, the pair managed to clear a short-term descending trend-line resistance. The pair, however, reversed its gains and is now retesting the resistance break point turned support. Should the pair drop back below this resistance turned support area near 1.9400-1.9380 area, it seems likely to drift lower towards retesting the ascending trend-line strong support, currently near 1.9250-30 area. Further, a break below the ascending trend-line support now seems to confirm a break-down opening room for continuing the near-term downward trajectory back towards 1.9050 intermediate support area and eventually back towards 1.8950 support area, marked by 38.2% Fib. retracement level. Alternatively, a bounce from current support level now seems to face immediate resistance near 1.9500-20 area. Major upside resistance, however, is pegged near 1.9650 area, which if conquered has the potential to lift the pair, beyond 1.9750 resistance, towards testing the very important psychological mark resistance near 2.0000 mark with intermediate resistance near 1.9880-1.9000 area.

GBPCAD

The pair is once again reversing from 1.8900 resistance area marked by 50% Fib. retracement level of its Feb. to April down-leg. From current levels the pair clearly seems to be headed towards testing an important support confluence near 1.8680-60 area, comprising of 38.2% Fib. retracement level and 100-day SMA. A break below this immediate support might drag the pair towards filling Friday’s price gap and test 1.8520-1.8500 support area, also nearing 23.6% Fib. retracement level support near 1.8470-80 area. Further, a break below 1.8480 now seems to confirm retest of sub-1.8300 level support, marked by an ascending trend-line. Meanwhile on the upside, 1.8800 level, closely followed by 50% Fib. retracement level resistance near 1.8850 seems to restrict immediate upside. Further, move above 1.8800 resistance is likely to confront a strong resistance near 1.8920 area, which if conquered has the potential to immediately lift the pair towards its next resistance area near 1.9000 level, marked by 61.8% Fib. retracement level.

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