GBPUSD Analysis – September 29, 2012

After touching 1.6301 resistance, GBPUSD pulled back from 1.6309, suggesting that consolidation of the uptrend from 1.5393 is underway. Range trading between 1.6100 and 1.6309 would likely be seen in a couple of weeks. Support is at 1.6100, as long as this level holds, we’d expect uptrend to resume, and another rise towards 1.6500 is possible, and a break above 1.6309 could signal resumption of the uptrend.

For long term analysis, GBPUSD formed a sideways consolidation in a range between 1.5236 (Jan 13 low) and 1.6745 (Apr 28, 2011 high). Further rise to test 1.6745 resistance would likely be seen over the next several weeks.

gbpusd daily chart