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Shivani Financial GBP/USD short term bottom seems 5478-5383 and top 6210-42. Shivani Financial EUR/USD short term bottom seems 2580-2618 and top 3510. Shivani Financial USD seems to weaken this quarter with GBP target of 6330 and EUR of 3250 if talks of QE3 takes place and euro area resolution policies implemented without new story. Shivani FinancialGold has taken correction according to our forecast for it to go 1850 by August end.

Thursday, December 29, 2011

GBP/USD Outlook (29-Dec-2011)

After plunging below 1.5600 on yesterday’s risk-off sentiment, the GBP/USD was unable to hold around 1.5450 and resumed the downside movement during the European session.

This morning Italy’s debt auction sold 7 billion euro with yields at 5.62% and almost 7% for 3-yr and 10-yr bills, respectively. The news triggered a downfall below 1.5400, finding a low at 1.5361.

At the moment of writing, the GBP/USD is quoting at 1.5390. On the downside, supports might be found at 1.5345 low, followed by 1.5339 (Oct-10 low) and 1.5270 (Oct-6 low). On the upside, resistance should appear at 1.5470 psychological level and 1.5540.


By
M.Zohaib Gadit
Forex Trading Consultant

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