GBP/USD 1.6313 – 18 January 2010

GBP/USD Open 1.6288 High 1.6355 Low 1.6229 Close 1.6259
Pound/Dollar corrected on Friday down from the 1.6355 top to 1.6231, closing the week at 1.6259. This morning Cable started climbing again, exerting pressure on the Dollar, and if Friday’s top and nearest resistance at 1.6355 is convincingly penetrated upwards, we may see further strengthening of the Sterling, with next targets towards 1.6438. Restoring confidence in the British currency will signal for further growth and may push it further upwards. MACD supports the bullish outlook for the Sterling, Stochastic and CCI are in the oversold zone and positive too, suggesting bullish pressure.
Technical resistance levels: 1.6355 1.6438 1.6550
Technical support levels: 1.6252 1.6141 1.6065

Trading range: 1.6300 – 1.6375
Trend: Upward
Buy at 1.6313 SL 1.6283 TP 1.6363

Written by