19 Apr 2011

GBP/USD Analysis

The market was down, supported at 1.624, before the US news at 2200 and 2230hrs on NAHB Housing Market Index and FOMC rattled the movement up to 1.633, then turned down towards 1.616.

From the CCI, that finished the downside indication, as the CCI has punched out of the lower BB line. Pound hit below 1.623, a strong support for tha last week, attempt to break it, rebound and now this morning stands at 1.625/ 26.

Numerous Europe news in the afternoon. The issue of soverign debts has come back.

Support is at EMA21 at 1.62. EMA55 at 1.610. Resistance at 1.63. then 1.635. Bothe EMA can also be resistance. Expecting some swing between EMA21 and EMA55.