{"id":150862,"date":"2019-07-04T10:45:27","date_gmt":"2019-07-04T14:45:27","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=150862"},"modified":"2019-07-04T06:15:16","modified_gmt":"2019-07-04T10:15:16","slug":"gbpusd-analysis-slowing-services-sector-in-uk-bearish-for-gbpusd","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/07\/gbpusd-analysis-slowing-services-sector-in-uk-bearish-for-gbpusd\/","title":{"rendered":"GBPUSD Analysis: Slowing services sector in UK bearish for GBPUSD"},"content":{"rendered":"<div id=\"inves-3006540069\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">July 4, 2019<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">IFCMarkets<\/a><\/strong><\/p>\n<p><strong>Slowing services sector in UK bearish for GBPUSD<\/strong><\/p>\n<blockquote><p>UK\u2019s service sector expansion slowed in June. Will the <a href=\"https:\/\/www.ifcmarkets.com\/en\/trading-conditions\/forex\/gbpusd\">GBPUSD<\/a> continue declining?<\/p><\/blockquote>\n<p>Economic data from UK were negative after the unrevised final reading of Q1 GDP confirmed economic growth was at the strongest pace since the third quarter of 2017. Purchasing managers index data released on Tuesday showed that UK construction activity suffered its sharpest downturn in over a decade in June. And a speech by Bank of England Chairman Mark Carney late Tuesday suggested that the bank might loosen the tightening bias of its monetary policy. At the same time Markit\u2019s Service PMI index declined to 50.2 from 51 in May, showing a slowing of expansion in services sector. Readings above 50.0 indicate expansion. Weaker UK data are bearish for GBPUSD.<\/p>\n<p style=\"text-align: center; margin-bottom: 20px; margin-top: 20px;\"><img decoding=\"async\" style=\"float: none;\" src=\"https:\/\/www.ifcmarkets.com\/uploads\/images\/GBPUSD_O_04July2019.png\" alt=\"GBPUSD retracing below MA(200) 07\/04\/2019 Technical Analysis IFC Markets chart \" width=\"660px\" \/><\/p>\n<p class=\"ul-tick\">On the 4-hour timeframe the <b>GBPUSD: H4<\/b> is retracing after hitting two-week low in mid-June.<\/p>\n<ul class=\"ul-tick\">\n<li>The <b>Parabolic indicator<\/b> gives a sell signal.<\/li>\n<li>The <b>Donchian channel <\/b> indicates downtrend: it is narrowing down.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/macd\">MACD indicator <\/a> gives a bullish signal: it is below the signal line and the gap is narrowing.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/rsi\"> RSI oscillator <\/a> is below the 50 level and has not breached into oversold zone yet.<\/li>\n<\/ul>\n<p>We believe the bearish momentum will continue after the price breaches below lower boundary of Donchian channel at 1.2556. This level can be used as an entry point for placing a pending order to sell. The stop loss can be placed above the upper Donchian boundary at 1.2640. After placing the order, the stop loss is to be moved every day to the next fractal high, following Parabolic signals. Thus, we are changing the expected profit\/loss ratio to the breakeven point. If the price meets the stop loss level (1.2640) without reaching the order (1.2556), we recommend cancelling the order: the market has undergone internal changes which were not taken into account.<\/p>\n<h2 class=\"emailSummary\" style=\"margin-top: 15px !important;\">Technical Analysis Summary<\/h2>\n<table style=\"border: solid 1px black;\" cellspacing=\"0\" cellpadding=\"0\" align=\"left\">\n<tbody>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Order<\/b><\/td>\n<td align=\"left\" valign=\"top\">Sell<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Sell stop<\/b><\/td>\n<td align=\"left\" valign=\"top\">Below 1.2556<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Stop loss<\/b><\/td>\n<td align=\"left\" valign=\"top\">Above 1.2640<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Market Analysis provided by <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">IFCMarkets<\/a><\/p><div id=\"inves-3991941672\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By IFCMarkets Slowing services sector in UK bearish for GBPUSD UK\u2019s service sector expansion slowed in June. Will the GBPUSD continue declining? Economic data from UK were negative after the unrevised final reading of Q1 GDP confirmed economic growth was at the strongest pace since the third quarter of 2017. Purchasing managers index data released [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-150862","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/150862","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=150862"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/150862\/revisions"}],"predecessor-version":[{"id":150872,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/150862\/revisions\/150872"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=150862"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=150862"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=150862"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}