Today's Market View - GBP

GBPUSD

The British currency is further much in demand and after break above offers at the level at $1.9960 ad near $1.9975/85. Bulls tested strength of orders set at $2.0000/10. The Pound reached the mark at $2.0020, where the currency movement was stopped. Dealers explained it by large interest for sell near an option barrier at this level. They pay attention, too, that an Asian official account played a role of a Pound-seller that kept back an upside movement of the currency pair. In the same time GBPUSD is actively bought by an American investment house and the mood at the market remain positive yet. But there seem to be lots of barriers to continue the upside movement. Dealers speak about orders for sell at the level at $2.0030 and near an option barrier at $2.0050/60 following offers at $2.0020. Bids remain near $1.9980/70 and at the level at $1.9950 and at $1.9930/20.

From the chart technical view the daily stochastic is in the overbought zone and the risk of correction is increased. Meanwhile the daily momentum is rising. The Pound trades now with $2.0082.

EURGBP

Growth in daily indicators supports a break of upper limit of the figure “triangle” from April. Mood became better and risks to hit a new record high remains as the single European currency afterwards fell down.

RES 4: stg0.8100/20 historical high of 16 Apr., 2% envelope
RES 3: stg0.8040 1% envelope
RES 2: stg0.8035 highs of 21 Mai and 9 Jun.
RES 1: stg0.8021 high of 11 Jul.

Current quotation: Stg0.7952

SUP 1: stg0.7860/92 Bollinger Bands, 1% envelope, 100-day moving average, base of the figure “triangle”
SUP 2: stg0.7849 low of 19 Jul.
SUP 3: stg0.7823/35 low of 8 and 30 Mai
SUP 4: stg0.7795 2% envelope