GBPUSD Technical Analysis for May 20, 2013

As I said earlier, the MACD indicator is in negative territory, supporting a bearish outlook on GBPUSD.

The GBPUSD starts a decisive week, due to the large amount of economic data to be published in the UK this week.

The GBPUSD is forming a higher low pattern above support at the 1.5154 level, if it does break this support, it is very possible that this pair drop to the level of 1.5090. We must be vigilant for this week’s support at the 1.5090 level, because if this pair comes to break sharply this support, it is very possible that the cable has a free fall to the support at 1.4891 level in the medium term and this bearish outlook is supported by the 200 moving average and the MACD indicator, whose indicators are giving the conditions for the GBPUSD continues to fall in the long term. On the other hand, there is the possibility that the GBPUSD make a bullish rebound in suport 1.5090 level and up to the level of 1.5278, but it’s something I do not see very feasible to give this week, due to weak GBPUSD presenting today.

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