Owing to lack of UK macroeconomic data at yesterday's session, the US data determined the
trend. The cable fell against USD
after 10 bullish sessions.
existing home sales bounced in May. The cable rejected at 50Msma at the previous
week. The cable approached the strong supply zone between 1.5930 and 1.6040. In case of a daily close above 1.6050, bulls will gain another 150 and 250 pips.
The monthly resistance is seen at 1.5935 50Msma. We said earlier: «We expect before further up move, the pair will go
through healthy correction». The strong support is found at 1.5800, which is a previous
swing high, 1.5700 (previous swing lower high), and strong support base at
Intraday: At the Asian session, the cable was trading at 1.5812 compared to 1.5824. The parallel
support is found at 1.5806 (Thursday's low) and 1.5800 100Wema. In the H1 chart,
the cable headed towards lower highs and lower lows. In the four-hour chart, the
cable closed below the 20Dsma. The selling accelerates below 1.5800 towards
1.5780, 1.5760, and 1.5710/1.5700. The weekly 50Dsma is found at 1.5685. Intraday
buying is available above 1.5860 with targets at 1.5890, 1.5910, and 1.5930/1.5950.
The material has been provided by InstaForex Company – www.instaforex.com