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FxWirePro: GBP/USD key resistance at 1.4952, bearish in the short term

The GBP/USD has slipped lower sharply, shedding more than 100pips after dollar rose across the board following Federal Reserve rate hike yesterday. The currency pair initially rebounded towards higher levels in the earli…

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The GBP/USD has slipped lower sharply, shedding more than 100pips after dollar rose across the board following Federal Reserve rate hike yesterday. 

  • The currency pair initially rebounded towards higher levels in the earlier European session, however after finding resistance at 1.5000 level the pair has decline towards 1.4924 levels. 
     
  • Currently the cable is trading around 1.4924 levels, it is set to decline further towards 1.4880 later towards 1.4850 levels in the short term.
     
  • To the upside, the strong resistance can be seen at 1.4952, a break above this level would expose to cable to next resistance level at 1.5000.
     
  • To the downside immediate support can be seen at 1.4908, a break below will open the door towards next level at 1.4857.

    Recommendation: Go short below 1.4952, targets 1.4890, 1.4850, SL 1.5000

    Resistance Levels

    R1: 1.4952 (61.8% Retracement Level)

    R2: 1.5000 (Psychological Level)

    R3: 1.5095 (Dec 17th high)

    Support Levels

    S1: 1.4908 (50% Retracement Levels)

    S2: 1.4857 (38.2% Retracement Level)

    S3: 1.4801 (23.6% Retracement Level)

 

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