GBPUSD Analysis – October 2, 2010

GBPUSD’s bounce from 1.5296 extended to as high as 1.5921. Further rise to test 1.5997 previous high resistance is expected next week, a break above this level will indicate that the uptrend from 1.4230 has resumed, then next target would be at 1.6300 area. Support is at 1.5650, only break below this level could trigger another fall towards 1.5296 support.

For long term analysis, GBPUSD is in uptrend from 1.4230. Rise to 1.8000 area to reach next cycle top on weekly chart is expected in next several months.

gbpusd daily chart