GBP/USD 1.6382 – 8 December 2009

GBP/USD Open 1.6458 High 1.6516 Low 1.6315 Close 1.6445
Pound/Dollar continued descending on Monday. The currency couple first tried to reach higher, making a top at 1.6516, where further bullish momentum was limited, and the Cable renewed its bearish trend, making a bottom at 1.6315, and closing the day at 1.6445. On the daily chart the unconvincing break of the 1.6900 resistance indicated a potential downward scenario with current targets towards 1.6230. Break bellow this level may trigger further bearish momentum towards 1.6100. The nearest resistance is yesterday’s top at 1.6516. Another break above 1.6600 will indicate oversold market and might trigger upward correction again. The CCI indicator is negative on the 1 hour chart, suggesting bearish pressure.
Technical resistance levels: 1.6516 1.6720 1.6840
Technical support levels: 1.6315 1.6230 1.6100

Trading range: 1.6395 – 1.6320
Trend: Downward
Sell at 1.6382 SL 1.6412 TP 1.6332


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