Easy-Forex Daily Outlook

Pivot

0.9360

Our preference

Long positions above 0.936 with targets @ 0.9435 & 0.946 in extension.

Alternative scenario

Below 0.936 look for further downside with 0.9335 & 0.9315 as targets.

Comment

The RSI lacks downward momentum.

GBP/USD – within a bullish channel

The pair has rebounded on the lower boundary of a MT bullish channel and has validated a bullish flag. Moreover, the moving averages remain well directed. Therefore, as long as 1.6450 holds as a support (previous overlap), further advance is likely with 1.7040 at first (August 2009 top and strong overlap) and 1.74 in extension (horizontal resistance and overlap). A third target is set at 1.79 (horizontal resistance). Only a break below 1.6450 will turn the outlook to bearish. In this case, a first alternative target is set at 1.62 and a second one at 1.5870 (November 2013 bottom).

Australia

The S&P/ASX 200 index fell 0.44% or 23.747pts to 5405.05 (day range: 5422.6 – 5373.6) on Friday. The index is below its 20d MA (@ 5469) and below its 50d MA (@ 5461). 34% of the index constituents are above their 20D MA (vs 38% the previous session) and 43% of the shares are above their 50D MA (vs 47%).

Economic Releases

BZ 13:00: Jun FGV Inflation IGP-10 MoM
BZ 13:00: 06/15 FGV CPI IPC-S
BZ 13:30: Central Bank Weekly Economists Survey
US 14:30: Jun Empire Manufacturing, exp.: 15
US 15:00: Apr Net Long-term TIC Flows, exp.: $30B
US 15:00: Apr Total Net TIC Flows
US 15:15: May Industrial Production MoM, exp.: 0.5%
US 15:15: May Capacity Utilization, exp.: 78.9%
BZ 20:00: 06/15 Trade Balance Weekly
BZ : Jun CNI Industrial Conf.