Yesterday’s technical analysis gave us a mixed and interesting picture. A break below May lows (price range of 1.2559) would signify a further movement down, and we saw this break yesterday.
Technically:
INDICATORS
MACD lines have intersected and parabolic SAR has reversed.
Further movement down and SHORT positions are now looking favorable with possible price targets at 1.24883 (December 2018 low) followed by 1.24564 (which is the low spike we see on the chart in the first days of January) and mind you this isn’t the bottom yet, we can technically extend even further down to 2016-2017 lows of 1.21 area and even lower to October 3rd 2016 low of 1.16515.
Fundamentally:
We remind you to keep an eye out on political developments coming from the UK – Boris Johnson, the top runner up to replace Theresa May has said he is committed to exiting the European Union on the deadline of October 31—triggering a no-deal Brexit if he has to. Prospect of no-deal Brexit has sent the pound to nearly six-month-low, thus far.
And that tomorrow U.S. Federal Reserve' will be making a statement regarding interest rates.
Technically:
INDICATORS
MACD lines have intersected and parabolic SAR has reversed.
Further movement down and SHORT positions are now looking favorable with possible price targets at 1.24883 (December 2018 low) followed by 1.24564 (which is the low spike we see on the chart in the first days of January) and mind you this isn’t the bottom yet, we can technically extend even further down to 2016-2017 lows of 1.21 area and even lower to October 3rd 2016 low of 1.16515.
Fundamentally:
We remind you to keep an eye out on political developments coming from the UK – Boris Johnson, the top runner up to replace Theresa May has said he is committed to exiting the European Union on the deadline of October 31—triggering a no-deal Brexit if he has to. Prospect of no-deal Brexit has sent the pound to nearly six-month-low, thus far.
And that tomorrow U.S. Federal Reserve' will be making a statement regarding interest rates.