GBP/USD Forecast January 22, 2013, Technical Analysis

The GBP/USD pair went back and forth during the Monday session again, as traders try to decide what to do with it. The lovely five a level has held as support so far, so this will give more credence to the idea that we are oversold at this point. The candle was not enough to take a trade however, and simply looks neutral at this point in time. However, we will once despair over the next couple of sessions and see how it chooses to react to the 1.58 level. This area should be massively supportive based upon the fact that it is where the ascending triangle from last summer broke out in order to push this pair higher.

GBP/USD Forecast January 22, 2013, Technical Analysis

Written by FX Empire