GBPUSD bulls were left disappointed by yesterdays BOE release and we saw some profit taking as price dropped below 1.5150. Bears are looking to defend this line and push for the 1.5110 support level where bulls will be looking to defend yesterdays low with the help of the 24 EMA. A break here will open up the way for 1.5050. However, if bulls manage to close above 1.5150 then we will see them attack 1.5200 and extend the rally to 1.5225 and 1.5300 respectively.
The pair has flattened out after dropping 100 pips from yesterdays high. Significant support is seen at 1.0940, which the bulls have defended since yesterdays US session. EMA`s are looking to cross up, which will see bulls push for the 1.0970 and 1.1000 resistance zones. However, a surge by bears to break below 1.0940 will open up the way for 1.0920 and 1.0900 and perhaps a push to finish the week flat.
The stock is retesting July highs at 85.00, which it failed to break in November after a steep rally which lasted for two month from 58.00. A close above 85.00 will open the way for 87.00 and 90.00 as we see the 85 dollar mark become a significant support zone. A failure to break above and a close below 82.50, will see profit taking by bulls and a renewing in selling pressure as bears look to take the reins, driving price to the 79.50,75.50 and eventually the 73.00 mark.
The DAX is trading near significant support at 10500. If bulls manage to hold this level and close above 10660, we will see a retrace of last weeks bear rally as the 10740,10800 and 11000 resistance levels are tested. A close below 10500, will see bears continue to drive the index lower as they hunt the 10385 and 10300 support levels.