The GBPUSD nosedived following the results of the MPC voting. The inflation report was also heavy on warnings as to the growth prospects of the UK economy despite the drop of price in the Commodities. GBPUSD dropped to 1.5469 from 1.5620 but rebounded 60 pips from the lows.

Elsewhere, FX pairs are taking a break from the volatility with no significant development to be noticed. US Jobless claims came more or less in line with expectations, (slight improvement) – surely good enough to keep rate hike expectations alive. Focus turns to NFP tomorrow at 12:30 GMT

Trading quote of the day:

“Manage the Risk and the profits will come by themselves.”

Green lines are resistance, Red lines are support

EURUSD
Pivot: 1.0845
Likely scenario: Long positions above 1.0845 with targets @ 1.0945 & 1.0995 in extension.
Alternative scenario: Below 1.0845 look for further downside with 1.081 & 1.078 as targets.
Comment: The RSI lacks downward momentum.

GBPUSD
Pivot: 1.5565
Likely scenario: Short positions below 1.5565 with targets @ 1.547 & 1.545 in extension.
Alternative scenario: Above 1.5565 look for further upside with 1.559 & 1.5635 as targets.
Comment: The RSI is badly directed.

AUDUSD
Pivot: 0.7365
Likely scenario: Short positions below 0.7365 with targets @ 0.73 & 0.726 in extension.
Alternative scenario: Above 0.7365 look for further upside with 0.739 & 0.743 as targets.
Comment: The RSI is capped by a declining trend line.

USDJPY 
Pivot: 124.45
Likely scenario: Long positions above 124.45 with targets @ 125 & 125.25 in extension.
Alternative scenario: Below 124.45 look for further downside with 124.3 & 124.1 as targets.
Comment: The RSI is well directed.

USDCAD
Pivot: 1.321
Likely scenario: Short positions below 1.321 with targets @ 1.3145 & 1.3105 in extension.
Alternative scenario: Above 1.321 look for further upside with 1.326 & 1.329 as targets.
Comment: The RSI lacks upward momentum.