GBPUSD Analysis – Mar 12, 2008

GBPUSD is moving to the next cycle top on daily chart, and the next cycle top is nearing. Near term support is at the up trend line from 1.9361 to 1.9720, and key support is at 1.9720, a breakdown of this level will confirm the cycle top and indicate that the rebound from 1.9337 has completed, and then pullback to retest 1.9337 support could be seen.

For long term analysis, the pair is in long term bearish movement. The rise from 1.9337 is treated as consolidation to the long term down trend. Further fall towards 1.8000 area to reach the next long term cycle bottom on weekly chart is still possible after consolidation.

gbpusd daily chart