GBPUSD Analysis – November 28, 2009

GBPUSD might be forming a cycle top at 1.6875 level on daily chart. Key support is located at 1.6251, a breakdown below this level will confirm the cycle top and indicate that the rise from 1.5708 has completed, then another fall towards 1.5708 could be seen to follow. Resistance is at 1.6875, only rise above this level will confirm that the rise from 1.5708 is resumption of long term uptrend from 1.3503 (Jan 23 low).

For long term analysis, GBPUSD has formed a cycle bottom at 1.5708 level on weekly chart. Sideways consolidation in range between 1.5708 and 1.7042 is expected in next several weeks and another fall towards 1.4800 is possible.

gbpusd daily chart

gbpusd weekly chart