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22 Mar 2013
Forex Flash: GBP/USD looks technically bearish - Nomura
FXstreet.com (Barcelona) - Nomura strategist Saeed Amen has taken a look at GBP/USD from a purely technical perspective.
Looking at a daily chart he notes that while spot is up on the week, he is flipping to a bearish outlook. He notes that RSI is reaching high levels in comparison with recent weeks, which suggests that it is close to a short term high. Further, he sees that badwidth is very low, indicating that spot is likely to range. Henceforth, he writes, “There could be some retracement back lower, as opposed to a breakout (higher). Our target is 1.5070 (20D SMA).”
Looking at a daily chart he notes that while spot is up on the week, he is flipping to a bearish outlook. He notes that RSI is reaching high levels in comparison with recent weeks, which suggests that it is close to a short term high. Further, he sees that badwidth is very low, indicating that spot is likely to range. Henceforth, he writes, “There could be some retracement back lower, as opposed to a breakout (higher). Our target is 1.5070 (20D SMA).”