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The British pound continues to drift lower against the US dollar as traders remain nervous ahead of Wednesday’s EU leaders meeting over Brexit. The overall target of the triangle pattern on the four-hour time frame suggests that the GBPUSD pair could fall towards the 1.2900 level. Buyers need to move price above the 1.3100 level to negate the bearish weekly sentiment towards the GBPUSD pair.

If the GBPUSD pair trades above the 1.3060 level, key resistance is found at the 1.3100 and 1.3180 levels.

If the GBPUSD pair trades below the 1.3160 level, key intraday support is found at the 1.3000 and 1.2980 level.

Litecoin continues to trade at elevated levels on Tuesday as the fifth largest cryptocurrency attempts to break past the $100.00 resistance barrier. The weekly time frame shows that the LTCUSD pair is testing Ichimoku cloud resistance, which extends up towards the $200.00 level. The weekly time frame also shows that key Ichimoku support is currently located at the $70.00 and $60.00 levels.

The LTCUSD pair is bullish while trading above the $60.00 level, key resistance is found at the $100.00 and $150.00 levels.

If the LTCUSD pair fails before the $100.00 levels, key support is found at the $70.00 and $60.00 levels.

Daily Pivots: (S1) 1.3034; (P) 1.3055; (R1) 1.3082; More....

GBP/USD is staying in consolidation from 1.3381 and intraday bias remains neutral. More sideway trading could be seen. For now, further rise is still mildly in favor as long as 1.2960 support holds. On the upside, decisive break of 1.3381 will extend the rise from 1.2391 and target 61.8% retracement of 1.4376 to 1.2391 at 1.3618 next. However, on the downside, sustained break of 1.2960 will indicate that rebound from 1.2391 has completed earlier than expected. Deeper fall would then be seen to 1.2773 support for confirmation.

In the bigger picture, medium term decline from 1.4376 (2018 high) should have completed at 1.2391. Rise from 1.2391 is seen as the third leg of the corrective pattern from 1.1946 (2016 low). Further rise could be seen through 1.4376 in medium term. On the downside, though, break of 1.2773 support will dampen this view. Focus will be turned back to 1.2391 low and break will resume the fall from 1.4376 to 1.1946.

Cable remains constructive and extended recovery in early Tuesday's trading, but bulls were so far capped by 55SMA (1.3094), which guards more significant daily cloud top (1.3110) and Fibo 38.2% of 1.3381/1.2977 (1.3131). Technical studies send mixed signals as daily momentum heads up and created bull-cross, while stochastic and RSI are flat and MA's remain in bearish setup. Cracked bull-trendline offers immediate support at 1.3042, ahead of key 200SMA (1.2976) loss of which will generate strong bearish signal. Bulls need sustained break above daily cloud and Fibo barrier at 1.3131, to generate reversal signal and expose next key barriers at 1.3160 (converged 20/30SMA's) and 1.3191/96 (3/4 Apr double-top). Markets await news from Brexit negotiations for fresh direction signals, as PM May is going to meet German Chancellor Angela Merkel and French President Macron, in last attempts to secure short extension of Brexit and buy some time to make breakthrough in talks with opposition, which so far showed to results. May wants to make a deal before EU summit tomorrow, as the EU will likely insist on extension of one year, with possibility to leave, if UK does present the plan on the summit.

Res: 1.3094; 1.3110; 1.3131; 1.3160
Sup: 1.3053; 1.3042; 1.3005; 1.2976

Daily Pivots: (S1) 111.60; (P) 111.71; (R1) 111.83; More...

Intraday bias in USD/JPY remains neutral at this point as it's holding above 111.19 minor support. On the downside, break of 111.18 will likely extend the consolidation from 112.13 with another fall to 109.71 and possibly below, before completion. On the upside, decisive break of 112.13 will resume whole rally from 104.69 and target 114.54 resistance next.

In the bigger picture, medium term outlook in USD/JPY remains a bit mixed as it's staying inside falling channel from 118.65, but there are signs of bullish reversal. On the upside, break of 114.54 resistance will revive the case the corrective fall from 118.65 has completed with three waves down to 104.69. And whole rise from 98.97 (2016 low) is resuming for 118.65 and above. But before that, outlook stays neutral first.

Daily Pivots: (S1) 0.9976; (P) 0.9991; (R1) 1.0005; More...

Intraday bias in USD/CHF remains neutral at this point. On the upside, sustained break of 1.0010 will suggest that pull back from 1.0124 has completed. Intraday bias will be turned back to the upside for 1.0124/28 resistance zone. However, break of 0.9953 minor support will indicate rejection by 1.0010 and turn bias to the downside for 0.9879. Break there will resume the fall from 1.0124 to 0.9716 key support.

In the bigger picture, focus is back on medium term trend line (now at 0.9865). Decisive break there will argue that whole rise from 0.9186 has completed. Further break of 0.9716 will confirm reversal and target next support level at 0.9541. Nevertheless, there is still a chance that price action from 1.0128 are forming a consolidative pattern with fall from 1.0124 as third leg. If this is the case, stronger support should be seen between 0.9716 and the trend line to contain downside.

Pivot (invalidation): 111.55

Our preference Short positions below 111.55 with targets at 111.25 & 111.00 in extension.

Alternative scenario Above 111.55 look for further upside with 111.75 & 111.85 as targets.

Comment A break below 111.25 would trigger a drop towards 111.00.

Pivot (invalidation): 1.3055

Our preference Long positions above 1.3055 with targets at 1.3090 & 1.3115 in extension.

Alternative scenario Below 1.3055 look for further downside with 1.3035 & 1.3005 as targets.

Comment The RSI is bullish and calls for further advance.

Daily Pivots: (S1) 0.7099; (P) 0.7115; (R1) 0.7144; More...

AUD/USD's rebound from 0.7052 extends higher today and focus is back on 0.7168 resistance. Decisive break there will suggest that the corrective decline from 0.7295 has completed at 0.7003 already. Intraday bias will be turned to the upside to resume the rebound from 0.6722 through 0.7295. On the downside, though, sustained break of 0.7052 will target 0.7004 first. Break will resume the fall from 0.7295 instead.

In the bigger picture, as long as 0.7393 resistance holds, fall from 0.8135 is still expected to extend. Such decline is seen as resuming long term down trend from 1.1079 (2011 high). Decisive break of 0.6826 (2016 low) will confirm this bearish view and resume the down trend to 0.6008 (2008 low). However, firm break of 0.7393 will argue that fall from 0.8135 has completed. And corrective pattern from 0.6826 has started the third leg, targeting 0.8135 again.

Pivot (invalidation): 1.1250

Our preference Long positions above 1.1250 with targets at 1.1275 & 1.1285 in extension.

Alternative scenario Below 1.1250 look for further downside with 1.1235 & 1.1220 as targets.

Comment The RSI calls for a rebound.