FxWirePro: Cable looks weak ahead of UK data, good to sell rallies
GBP/USD seeing some weakness after solid gains in the previous two sessions which retraced almost half of last week's drop. Persisting risk-on sentiment continues to boost appetite for the riskier assets such as the US d…
GBP/USD seeing some weakness after solid gains in the previous two sessions which retraced almost half of last week's drop.
Persisting risk-on sentiment continues to boost appetite for the riskier assets such as the US dollar, weighing on cable
Due later in the day are UK industrial production and trade balance data, UK trade deficit is seen widening in July, while the industrial production is seen rebounding m/m
Cable is currently trading at 1.5377, after opening at 1.5392, day's range 1.5404-1.5368
Stochs on hourlies show bearish crossover at oversold levels, RSI biased lower, momentum studies base, 20 day Bolli's fall 5, 10 & 20 dma's conflict
Immediate minor support is seen at 1.5352 (200-DMA), followed by a major support at 1.53 levels, next hurdle is seen at 1.5413 (previous day's high) and then 1.5491 (50% of last two week's drop)
Recommendation: Good to sell rallies around 1.5380, SL: 1.5410, TP: 1.5330.
