GBPUSD Analysis – Oct 11, 2008

GBPUSD falls below 1.7047 (Nov 2005 low) long term support and reaches as low as 1.6786 level. Deeper decline is still possible to 1.6500 zone in a couple of weeks. Initial resistance is now located at 1.7230 and followed by 1.7400.

For long term analysis, GBPUSD stays in long term bearish movement. Deeper decline to 1.6000 zone to reach the next cycle bottom on weekly chart is expected.

gbpusd daily chart