Technical outlook : Outlook in GBPUSD remains on the downside – cautiously – as long as resistance 1.5789/1.5941 holds on a weekly closing basis , support comes at the 1.5665 levels .At this point I’d expect strong support from the 1.5656 levels to contain fall from the 1.6524 levels and bring rebound , however ; a clear break below the 1.5656 levels will have large bearish implication towards the 1.5426/1.5221 levels ahead of the 1.4813 levels .
On the upside , a rejection from the 1.5656 levels could mean a return to the 1.5789 levels , a break would open main resistance at the 1.5941 levels . a halt is likely , but further upside will aim the 1.6237 levels.
In all , as long as resistance 1.5789/1.5941 holds on a weekly closing basis , outlook in GBPUSD remains – cautiously – on the downside , but sustained trading below the 1.5656 levels is needed to resume fall from 1.6524 levels towards the 1.5426/1.5221 levels. A rejection from the 1.5656 levels will bring rebound towards the 1.5789/1.5941 levels , further upside will aim the 1.6237 levels .
Weekly support & resistance : 1.4813 , 1.5221 , 1.5426 , 1.5656 , 1.5789 , 1.5941 , 1.6237 , 1.6524
Key data/events which may influence EURUSD next week :
Tuesday Nov 18 2014
- UK will release its inflation report CPI. (y.y)
- US will release its data on PPI (m.m).
Wednesday Nov 19 2014
- From UK , MPC Asset Purchase Facility Votes and MPC Official Bank Rate Votes.
- US will release its data on Building Permits followed by FOMC Meeting Minutes.
Thursday Nov 20 2014
- US will release its data on CPI (m/m ) and Core CPI (m/m) followed by its weekly report on Initial Jobless Claims and Philadelphia Fed Manufacturing Index.
Events will be discussed during the week.