Weekly GBP/USD And Cross Pairs: Levels, Ranges, Targets
As GBP/USD‘s election drop saw a break at 1.2751 support to now range between 1.2751 and 1.2635, GBP cross pairs became equally affected . GBP/USD trading between vital resistance and support means most widely traded cross pairs GBP/CAD, GBP/AUD and GBP/CHF also trade between vital support and resistance levels. GBP/JPY and GBP/NZD trade far below vital resistance.
What drives GBP/USD prices are averages 5 to 50 day and all are currently oversold. GBP/CAD and GBP/AUD are equally oversold and driven by 5 to 50 day averages while GBP/JPY and GBP/NZD movers are 5 to 200 day averages. GBP/CHF is the outlier as its price is not only severely oversold but current price is located below averages 5 to 253 days. Ironic for medium term mover in the GBP universe GBP/CHF would result from the election drop to become most oversold and to offer best movements. Normally and in order, GBP/NZD, GBP/CAD, GBP/AUD then GBP/JPY offer best volatility on any given day or week.
Inside GBP averages as opposed to EUR is potential against ability to move and to see good volatility for the week. The obvious reason for range ability is the result of both the averges themselves as well as the possibility of the 4th ever Hung Parliament since the elections of 1910.
The last Hung Parliament was 2010, 1974 then 1929. The examples are few yet the modern day examples were slated to always become few with passage of the 2011 Fixed Term Parliament Act mandate to hold elections within a 5 year term with ability to call Snap elections anytime. Theresa May had plenty of time on her term to call a Snap Election. All past Hung Parliaments involved a Tory victory against formation of governments with Liberal Democrats. Today appears to be the same phenomenon.
Offered below are GBP/USD and cross pair ranges for the week as well as significant support and resistance points. Tops and bottoms are buy and sell levels while support / resistance points are must breaks to see a more significant move.
GBP/USD Supports are located at 1.2751 and 1.2635. Most extreme prices for the week are located from 1.3030, 1.3064 and 1.3098. The range point is located at 1.3200 therefore 1.2700’s to 1.3200 will hold. Below prices are located at 1.2712, 1.2702, 1.2698 and 1.2675. Bottom prices reveal 1.2635 will hold.
GBP/JPY resistance above is located at 141.35 and 141.91. Upper extremes are found from 144.17 and 144.77. Below begins 139.58, 139.16 and 139.58. GBP/JPY current is well balanced and at the 140 close, GBP/JPY trades below at range bottoms.
GBP/CHF at oversold 1.2300’s meets resistance at 1.2537 and 1.2564. A break of 1.2564 drives GBP/CHF to 1.2607, 1.2629 and 1.2756. At 1.2756 is hardly expected for the week nor anytime soon. Below GBP/CHF will dead stop at 1.2311, 1.2289 and 1.2276.
GBP/CAD is caught between 1.7163 and 1.6988. Oversold, low price and wide ranging GBP/CAD can travel to 1.7610, 1.7678 and 1.7693 before extreme overbought begins. Upper targets are located from 1.7282 to 1.7325. Below prices struggle from 1.7100, 1.7084 and 1.7033.
GBP/NZD is oversold and resistance is located at 1.8019 and 1.8021. A break of 1.8021 then targets to upper extremes are found at 1.8355 and 1.8436. Below price struggles are found at 1.7568 and 1.7509. GBP/NZD remains the granddaddy mover among all currency pairs.
GBP/AUD is oversold and caught between 1.7015 and 1.6763. Above overbought begins at 1.7503 and 1.7638. Below 1.6884, 1.6798 and 1.6765. At 1.6763 will hold as GBP/AUD is at bottoms of its current ranges.