Pound/dollar is looking for a direction. Some data are pointing to the upside but others to the downside.
The team at JP Morgan organize the various technical levels and the prospects of recovery:
Here is their view, courtesy of eFXnews:
GBP/USD weekly Ichimoku-support for the lagging line at 1.5599 is still providing support so that there are now big prospects of re-testing and breaking the first resistance cluster at 1.5738 (minor 38.2 %/pivot), notes JP Morgan.
“Such a break would finally pave the way for a test of the more significant resistance barriers at 1.5818/34 and at 1.5947 (int. 38.2 % on higher scales) where the upside looks capped though,” JPM projects.
“Provided these barriers are not taken out, we’d see the broader downtrend as intact and the door for a straight extension to 1.5374 (int. 76.4 %) open,” JPM adds.
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