|Market Comments||Long and Intermediate Term = Down |
Short-Term = Neutral sideways trending
In general what you see on the chart it is quite obvious in the long-term the GBP-USD is still trending down. At this stage it should be gradually because it has reached the previous major support level at 1.4855.
Behind the looks of the current physical graph there is hidden agenda of this pair. As you can see based on the historical price it's ideal lowest level is at what it is now 1.4888 and the minimum 1.41620 which only 600+ points (pips) away. What does it really means to the experience traders out there? with the risk gap is getting smaller and it is already reached major support level.
Well in the long term probably in 1 month or 2 there could be a huge jump upwards in the GBP-USD. This is based on the historical graph that this pair is fluctuating within those boundary. As the market slows down and MACD / Stochastic is already exhausted the only way to go up again. In addition the formation of head/shoulder in the monthly time frame could be a convincing strong evidence the GBP-USD should be going up. The cycle of changes might be just around the corner it's just a matter of time it could jump up in surprise. Just wait and see.