GBP/USD 1.5416 – 16 July 2010

GBP/USD Open 1.5436 High 1.5464 Low 1.5235 Close 1.5453

On Thursday Pound/Dollar continued rising with just over 200 pips, in line with the positive Interbank sentiment at nearly +20%. The Cable appreciated from 1.5235 to 1.5464 yesterday, closing the day at 1.5453. Today the pair seems to be consolidating for now. On the 1 hour chart the upward channel is formed, while on the 3 hour chart the upward channel is looking good. First resistance is yesterday’s peak at 1.5464. Break above it should extend the bullish movement further towards 1.5550. The nearest support is yesterday’s bottom at 1.5235. Going bellow it should extend British Pound’s reduction further down towards next downward objective 1.5181. There are no major economic events for UK today. Quotes are moving just above the 20 and 50 EMA on the 1 hour chart, indicating slim bullish pressure. The value of the RSI indicator is positive and quiet, MACD is positive and declining, while CCI is about to cross up the 100 line on the 1 hour chart, giving overall light long signals.

Technical resistance levels: 1.5464 1.5550 1.5705
Technical support levels: 1.5235 1.5181 1.4967

Trading range: 1.5405 – 1.5480
Trend: Upward
Buy at 1.5416 SL 1.5386 TP 1.5466

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