GBP/USD 1.4416 – 17 May 2010

GBP/USD Open 1.4537 High 1.4641 Low 1.4815 Close 1.4530
Pound/Dollar traded with a small decrease on Friday, in line with the negative Interbank sentiment at around -56%. The Cable depreciated on Friday from 1.4641 to 1.4505, closing the week at 1.4530. Today Sterling’s weakening continued with another strong downward impulse. First resistance is Friday’s top at 1.4641. Break above it should extend the bullish movement further towards 1.5044. The nearest support is today’s bottom at 1.4255. Going bellow it should extend British Pound’s reduction further down towards next downward target 1.4135. Today is the UK CBI industrial order books and output balance at 10 GMT. Quotes are movingbellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is positive and calm, while MACD and CCI are negative and inclining slightly upwards on the 1 hour chart, giving over all short signals.

Technical resistance levels: 1.4641 1.4781 1.4912
Technical support levels: 1.4255 1.4135 1.4000

Trading range: 1.4430 – 1.4355
Trend: Downward
Sell at 1.4416 SL 1.4446 TP 1.4366

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