The GBPUSD continued its bearish momentum last Friday , topped at the 1.5694 levels and bottomed at the 1.5567 levels . This development leaves the pair targeting the 1.5500 levels , a halt is likely , but a cut will open 1.5400 next , further losses will open 1.5300/1.5240 levels.
On the upside , resistance comes at the 1.5625 levels , break of the 1.5625 levels on a daily closing basis will turn outlook neutral for retesting the 1.5775/1.5825 levels before the next fall.To reverse risks to the upside , 1.5825 should be taken out on a daily closing basis otherwise , risk will remain to the downside even in case of recovery !
In all ,as long as resistance 1.5625 holds on a daily closing basis , outlook in GBPUSD remains on the downside towards the 1.5500 levels ahead of the 1.5400 levels.above 1.5625 will turn outlook neutral and bring consolidation below 1.5825 levels before the next fall .
In the medium term forecast , as long as resistance 1.5789/1.5941 holds on a weekly closing basis , outlook in GBPUSD remains on the downside towards the 1.5335 levels where a cut will open 1.5000/1.4813 levels , above 1.5941 will reverse risk towards 1.6237/1.6524 levels.
In the long term forecast , as long as resistance 1.5873 holds on a monthly closing basis , fall from 1.7190 is likely to resume towards the 1.4813 levels where a cut will open 1.4200 levels, note that minor support comes at the 1.5525 levels so we might see hesitation before the next leg down…
Key data /events which may influence GBPUSD this week:
UK industrial and manufacturing production. Tuesday , Dec 09
UK trade balance.Wednesday , Dec 10
US retail sales & US jobless claims . Thursday ,Dec 11
US producer prices index & US consumer sentiment. Friday , Dec 12