GBPUSD – daily cloud continues to underpin for stronger recovery
Cable bounces after repeated attack at top of thick daily cloud (1.4012) was rejected. Cloud continues to underpin, with support reinforced by rising 20SMA (1.3995), which could result in stronger recovery of three-day fall from 1.4244.
Return to bull-channel (lower boundary lies at 1.4053, which also marks the base of thick 4-hr cloud) would generate bullish signal for recovery extension towards pivotal 1.41 resistance zone (10SMA / Fibo 38.2% of 1.4244/1.4012 bear-leg / top of 4-hr cloud), break of which would spark stronger recovery.
Daily studies are in bullish setup and supportive while the price holds above daily cloud.
Holiday-thinned conditions suggest quiet trading today.
Res: 1.4066; 1.4100; 1.4114; 1.4155
Sup: 1.4012; 1.3995; 1.3964; 1.3915