Forex: GBP/USD gets below 1.5700

The GBP/USD downward saga today didn't end at the 1.5700 support, as investors pushed the market lower just recently. The chart sees the pair quoting at 1.5680, daily low. Last week's low was at 1.5632 (-0.73%), and traders might find interesting to test that area.

This week, the Bank of England will publish their February MPR on Wednesday, “which should provide Mervyn King another opportunity to talk down sterling”, wrote TD Securities analyst Richard Kelly.

“The intraday bias here is negative below the resistance at 1.5775 and the pair is heading for a test of 1.5680 support area”, wrote Deltastock.com analyst Stoyan Mihaylov. “On the senor frames the outlook remains slightly positive within th consolidation pattern above 1.5630 low”, he added.

Feb 11, 2013

Forex Flash: EUR/JPY correcting lower, capped at 127.71/93 - Commerzbank

The EUR/JPY is downside corrective and Commerzbank analysts' attention attention remains on the 6 week uptrend at 121.46 and the 3 month uptrend at 119.15: “We look for these to hold the downside and provoke recovery. Near term rallies should ideally remain capped by the 127.71 6th February high and 127.93 the April 2010 high for this downside corrective phase to be maintained”, wrote analyst Karen Jones, pointing to resistance at 127.93 (April 2010 high) that guards 128.80/129.00 (78.6% retracement of the move down from 2009 and the 200 month moving average).

Forex Flash: Gilts operating in range that suggests upside bias – RBS

According to Technical Markets Strategist Dmytro Bondar at RBS, “Gilts have stayed in a range between 20-day MA and 115.75 support level, while a range breakout will be likely to determine further direction. There are no strong direction signals from the chart. However, as cross-market signals suggest, there is more likelihood of an upside breakout, which means a break of the 20-day moving average. As it was the main limiting factor for the market, a push higher would be likely to trigger a strong move to 117.20 onto possibly 117.78. Alternatively, a downside break would be a signal for a move to 115.67/51.”