Forex Trading Library

Intraday Analysis – Pound Begins to Rebound

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GBPUSD looking for full recovery
GBPUSD chart: pound rebound intraday, eyeing 1.2800 resistance

Sterling clawed back over 100 pips against the greenback after falling to the lower 1.2500 area. The pair has held well following its break above 1.2600, with 1.2660 established as a solid support. A break above the previous peak at 1.2800 first needs a move to 1.2730 to release further bullish optimism in the market. If the RSI ventures into an overbought area, a 50-pip drop would be the first target in case of a pullback.

AUDUSD hitting a peak
AUDUSD chart: AUDUSD hits peak intraday, targeting 0.6660 resistance.

The Australian dollar rallied as the pair looked to test the previous swing high at 0.6660. Successive breaks above 0.6550 and 0.6330 have prompted sellers to cover their positions, leaving room for further extension. 0.6640 is the next resistance at an intra-day double top, and bulls could need to tread carefully after the RSI moves into the overbought zone. Any signs of a reversal must move past the 20-day SMA level of 0.6600.

NAS 100 bounces back
NASDAQ 100 chart: NASDAQ 100 bounces back, finding support at 18200.

The Nasdaq 100 made up lost ground as US data showed a firm economy looking to avoid a recession later this year. From the chart’s perspective, the index is stuck sideways as it recovers from falling below the 18000 level. 18200 over the 20-day SMA is where buyers have stepped in and contained the retracement. With a long-term bearish divergence still in play, bears will be looking for any signal of a turnaround, with 17800 being the first test and 17450 being the follow-up.

 

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