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GBP/USD Poised To Challenge Key 1.7000 And Critical 1.7042

Published 05/08/2014, 04:00 AM
Updated 12/12/2023, 05:55 AM

Cable (GBP/USD) solid advance through 1.6877 favours a still more bullish tone

A narrow range, cautious theme Wednesday ahead of the BoE MPC meeting, but still a bullish tone after the robust Tuesday advance, building on the push last week above our much flagged 1.6877 level, an important cycle high from 2009.

This leaves the market poised at key psychological 1.7000 and the multiyear high from 2009 at 1.7042.

The 8-day RSI is positive, but not OB, leaving scope to go still higher this week.

A break above 1.7042 would be an extremely bullish signal and open upside risks to a critical long term retrace target at 1.7335 into May.

WHAT CHANGES THIS?

Below 1.6805 eases bull risks; through 1.6760 signals a neutral tone.

Please see full report with levels and latest audio-visual analysis here:

Monthly GBP/USD

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