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​Technical Analysis: GBPUSD awaits UK PMIs to extend bounces off 200-day EMA

Despite growing fears of coronavirus outbreak ex-China, the GBPUSD pair manages to carry the bounce off 200-day EMA. The reason could be traced from upcoming preliminary readings of the UK PMIs that are likely to further dim the BOE's bearish bias. In doing so, a confluence of 100-day EMA and 38.2% Fibonacci retracement around 1.2920 will be important to watch. Should upbeat outcomes from the UK activity numbers propel the quote beyond 1.2920, 1.3000 and a falling trend line from December 13, at 1.3070 now, could please the bulls.

Alternatively, a downside break of a 200-day EMA level of 1.2848 coupled with disappointing UK PMIs will highlight November 2019 low of 1.2765 as the next rest point for the sellers. If at all the quote slips below 1.2765 on the daily closing basis, the bears will gear-up for September 2019 top surrounding 1.2570.

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