Cable succeeded in forming a long lower shadow on the daily chart yesterday but trading remains within the same trading range for the third consecutive day. We need to witness a sustained breakout below the intraday support at 1.5615 to reinforce our weekly bearish outlook while 1.5785 represents the major resistance for the time being and a break of which with a daily closing will change the outlook. The shaky overbought sign appearing on Stochastic and nearing 1.5785 in addition to stability above SMA 50 are reasons that force us to avoid trading today until the pair gives clearer signs to pinpoint the upcoming big move.
The trading range for today is among key support at 1.5515 and key resistance at 1.5935.
The general trend over short term basis is to the downside, targeting 1.4225 as far as areas of 1.6875 areas remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, staying aside until an actionable set up presents itself to pinpoint the upcoming big move.|