GBP/USD analysis (July 15, 2011)

The Cable remains well bid after a slight pullback on the 1,61 level.
A break above 1,62 (wednesday high) would accelerate the move towards 1,6250 which might offer a great resistance (daily bollinger band and weekly 20 moving average).
It is important to add that the market is currently testing a descending trendline (started in the beginning of may) which is another resistance to deal with.
It will be interesting to see how the pair react over the coming hours. A break above 1,6250 will warranty a bullish resumption with a next target at 1,64 before 1,66.
Failure to do so will lead to a setback towards 1,60 with probably a new test of 1,59.