GBPUSD - Signals Turn Bearish

A rising trend of higher weekly lows and gains above the key daily average rates have kept this week’s signals pointing higher and to buying dips. Wednesday’s signals were also bullish and these were confirmed with sentiment posting a 9th higher daily high in a row and an initial gain of ¾ Big Fig. However, sellers have returned to the market from close to March’s open and further selling in Asia this morning has temporarily weakened sentiment. The outlook for Thursday is therefore bearish and the call is to sell on the open and then at 1.2730 with a stop loss at 1.2765, just above today’s Asia high. Targets are to 1.2618, this week’s low, 1.2582, Friday’s base and 1.2516, the 100 day average rate.