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FxWirePro: GBPUSD Short term Outlook

  • Cable lost almost more than 120 pips after release of weak UK GDP data. UK economic growth slows to 0.1% in first quarter lowest since 2012.GBPUSD hits 1- month low at 1.37450 and is currently trading around 1.37860.
     
  • In weekly chart, the pair is trading near long term trend line support at 1.3800 (trend line joining 1.21088 and 1.27730) and any weekly close below confirms further weakness, a dip till 1.37110 (Feb 26th low).
     
  • On the higher side, nearby resistance is around 1.3845 (20- W MA) and any break above targets 1.3925/1.3960/1.4000. Any break above 1.4000 confirm minor bearish invalidation and a jump till 1.4100 is possible.

It is good to buy on dips around 1.3760 with SL around 1.3710 for the TP of 1.3900/1.3990.  

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