GBPUSD Analysis – March 23, 2013

GBPUSD is facing the resistance of the downward trend line on daily chart, a clear break above the trend line resistance will indicate that the downtrend from 1.6339 had completed at 1.4831 already, then the following upward movement could bring price to 1.7000 zone. On the downside, as long as the trend line resistance holds, the rise from 1.4831 would possibly be consolidation of the downtrend from 1.6339, another fall towards 1.4500 is still possible after consolidation.

For long term analysis, GBPUSD is in downtrend from 1.6745 (Apr 28, 2011 high). Further decline to 1.4500 area could be expected over the next several weeks.

gbpusd daily chart