GBP/USD Outlook: Pound Ticks Higher on News of Possible MV3 on Tuesday but Still Directionless

Technical analysis of Forex market

Cable spiked to session high at 1.3246 on comments that the third parliament’s vote on Brexit plan could be tomorrow.

Pound remains volatile and very sensitive on any news regarding Brexit, though there is still long way until satisfactory solution.

PM May seeks for plan support from Ireland’s DUP that is necessary for vote to happen.

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Despite spike higher, Monday’s action is shaped in long-legged Doji that signals strong indecision, as market participants await fresh signals for further action.

Flat daily momentum causes limited recovery, which was so far unable to clearly break above 10SMA (1.3216) and Fibo 61.8% (1.3237) and generate positive signal.

Rising 20SMA (1.3200) offers immediate support and underpins, guarding lower pivot at 1.3121 (30SMA), loss of which would weaken near-term structure.

Res: 1.3216; 1.3237; 1.3246; 1.3272
Sup: 1.3200; 1.3148; 1.3121; 1.3093

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