FXStreet Karen Jones, head of FICC Technical analysis at Commerzbank, notes that the prospects of the Cable in the short term remain neutral.
“The Sterling reached the least in the 55-week MA of 1,2966, where it came to consolidation. The TD perfection on the daily chart recommends, however, that now to be cautious. The recent High was also accompanied by a divergence at the daily RSI, but it is a decline below the Low of 21. April relieve of 1.2760 required to the upward pressure. We will remain in the medium term for the Pair is bullish as long as trading above the 200-day MA of 1,2603 takes place. Around 1,3000, the momentum will be lost, probably, at least temporarily.”
“1,2603 is a decline in the 1,2515 (18. April) and February to calculate Depth of 1,2347.”
** FXStreet News Editorial, FXStreet**