Technical Update – Important GBP Pairs

GBPUSD

Having breached 1.5300 mark, the GBPUSD swiftly rallied towards the 1.5412 highs; however, 38.2% Fibo of its recent decline, capped the pair's further advance, signaling a pullback towards 1.5300, breaking which 1.5250, 1.5200 and the 1.5170-60 area, including recent lows previously tested in June, are likely supports that the pair could test during its continued downward trajectory. Moreover, extended declines below 1.5160 could make it vulnerable to test 1.5000 psychological magnet with 1.5080 being intermediate rest. On the upside, 1.5440-50 area becomes strong immediate resistance to limit the pair's advance on the break of 1.5415. Further, a decisive break above 1.5450 could fuel the pair's rally towards 1.5580 and the 1.5700 area; though, 1.5500 round figure mark can act as a buffer.

GBPAUD

Failure to break 2.2100 area seems pulling back the GBPAUD towards testing a month old ascending trend-line support, near 2.1700 round figure mark. Should the pair fail to stop its decline near 2.1700, it can quickly decline to 50% Fibo of its recent advance, near 2.1620, breaking which 2.1515-10 is likely intermediate support before the pair could plunge to 2.1410 – 2.1400 horizontal mark, including late August lows. Moreover, extension of downturn below 2.1400 confirms the pair's "Double-Top" formation, making it vulnerable to test sub-2.0900 area. Alternatively, 2.1900 is likely immediate resistance to restrict the pair's up-move, breaking which 2.2000 psychological magnet and the 2.2100 horizontal mark are likely consecutive resistances during the pair's extended upward trajectory. Given the pair's ability to break 2.2100 on a closing basis, it can target August highs, near 2.2400 area with 2.2275-80 being intermediate resistance.

GBPJPY

Break of 185.30 – 185.00 important support, including 50% Fibo of its April – June rally and July lows, magnified the GBPJPY decline towards 180.00 region; however, bounce from the lows, near 180.40, pulled the pair back to mentioned support-turned-resistance region that currently restricts it's near-term advance. Should the pair manages to close above 185.30, also surpassing the 200-day SMA, presently at 185.50, chances of its 187.30 re-test can't be denied, breaking which 38.2% Fibo, near 188 round figure mark, followed by the 189.50, are likely consecutive resistance that the pair could aim during its successive up-move. Meanwhile, 184.00 could act as an immediate support, breaking which 61.8% Fibo, near 182.80 and the 181.30 are expected downside supports that the pair could test. On a further decline below 181.30, the recent lows of 180.40 and the 179.00 can restrict the pair's additional downturn.

GBPCHF

GBPCHF's reversal from 1.5400 pulled it back towards 200-day SMA re-test during late August and early September; however, the pair's bounce from the moving average seems currently facing 1.5100 as an immediate resistance. Should it manages to break 1.5100 on a closing basis, the pair can quickly rise to 1.5300-10 resistance area with 1.5175-80 being intermediate resistance while further up-move beyond 1.5310 can be capped by the August highs, near 1.5400 mark. On the downside, 1.4900 is likely a nearby support for the pair, breaking which 38.2% Fibo of its May – August advance, near 1.4800 psychological mark, is likely buffer prior to the pair's re-test of 200-day SMA, presently near 1.4650. Given the pair's ability to close below 200-day SMA, it can plunge to 61.8% Fibo, near 1.4430 mark.

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