Trade FOREX with FXCM

  • Award-Winning Platform
  • 24/7 Customer Support
  • Trade Directly on Charts
  • Free $50K Practice Account

Resources

GBPUSD: Waiting for Short Entry Opportunity

By , Currency Strategist
07 May 2012 05:39 GMT

Strategy: Pending Short

GBPUSD sold off after putting in a Harami pattern below major trend line resistance that has capped the upside since late April 2011. Prices are now testing through the former top of a wedge pattern now recast as support to challenge the 38.2% Fibonacci retracement at 1.6116, with a break below that exposing 1.6059. Risk/reward considerations argue against entering short at current levels and we will stand aside for now.

GBPUSD_Waiting_for_Short_Entry_Opportunity_body_Picture_5.png, GBPUSD: Waiting for Short Entry Opportunity

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak

To be added to Ilya's e-mail distribution list, send a note with subject line "Distribution List" to ispivak@dailyfx.com

provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from

07 May 2012 05:39 GMT