The GBP/USD pair had a strong showing on Friday as we raced towards the 1.6175 area. This area has been resistance before, but it appears that we are now ready to start breaking out of it. If we can get above the level, we think that a move to 1.63 is all but counted in. A break above the 1.63 level has this pair moving much higher, possibly as high as 1.70 sometime next year.
We are very bullish of this pair, and have been for some time. We have no plans of selling, as we see far too many areas that could provide support. However, a pullback to the 1.60 level would have us buying at the very first signs of support.
Written by FX Empire