Technical forecast for GBP/USD

gbpusd

GBPUSD could not sustain a break above 1.6140 & saw a drift lower towards 1.6070 which was expected to hold & we bottomed almost exactly here at 1.6077. Today’s outlook is more negative & could retest 1.6077. A break lower would not be a surprise & targets 1.6035, possibly 1.6000 for a buying opportunity.

Above 1.6100 could allow a retest of 1.6125 & possibly yesterday’s high at 1.6149. This should hold the move but above here use 1.6190/6200 for the next selling opportunity. However a break higher could retest October highs at 1.6260.

Weekly outlook: Trying to hold a break above 1.6120 to target 1.6200 & possibly October highs at 1.6260. Support at 1.5920/00 but below here is more negative & can target good support at 1.5710.

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens. Jason always had an interest in technical analysis throughout his trading career but began to study this area in depth from 2006. www.daytradeideas.com has established itself as the leading provider of... More