British Pound Crosses Drop to Support

Daily Forex Technicals | Written by DailyFX | Nov 05 08 21:36 GMT |

The British Pound crosses have dropped into long term support. GBPCHF Longer term, a drop below the all-time low at 1.7537 is possible if not probable given that the rally from 1.7537 is in 3 waves. The trendline that has held since November 2007 defines the trend. Divergence with RSI on the weekly suggests that the line could be put to the test before a drop to a new low. GBPCAD There is no discernible pattern (long or short term) in the GBPCAD. The pair is nearing long term support at 1.7668/1.8059 from the lows in 1989 and 1993. These levels are defended by a downward sloping support line drawn off of the 2003 and November 2005 lows. GBPAUD The GBPAUD has entered a support zone that began with former resistance from the September 18th high at 2.3167. Potential measured support from the 61.8% retracement of 2.0291-2.7110 is at 2.2666. The long term trend is viewed as up so signs of a low near there would warrant a bullish bias. GBPNZD The long term trend is considered up. The false breaks of the long term support line in late 2005 and early 2008 should serve to fuel a rally. Ideally, the double bottom at 2.41 remains intact. DailyFX Disclaimer Investment in the currency exchange is highly speculative and should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only. Accordingly we make no warranties or guarantees in respect of the content. The publications herein do not take into account the investment objectives, financial situation or particular needs of any particular person. Investors should obtain individual financial advice based on their own particular circumstances before making an investment decision on the basis of the recommendations in this website. While we try to ensure that all of the information provided on this website is kept up-to-date and accurate we accept no responsibility for any use made of the information provided. All intellectual property rights are the property of Daily FX. Daily FX and its affiliates, will not be held responsible for the reliability or accuracy of the information available on this site. The content herein is provided in good faith and believed to be accurate, however, there are no explicit or implicit warranties of accuracy or timeliness made by Daily FX or its affiliates. The reader agrees not to hold Daily FX or any of its affiliates liable for decisions that are based on information from this website. Daily FX highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least several independent sources.