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British Pound Technical Outlook

Monday, 14 July 2008 14:40:57 GMT

Written by Jamie Saettele, Technical Currency Analyst

There are a few possibilities right now for the GBPUSD.

A triangle could be nearing completion.  Triangles unfold in 5 waves (A-B-C-D-E) and wave E could terminate following a push through 2.0006.  The other triangle count treats the advance from 1.9364 as wave C of the triangle; which would probably end near 2.02.  The most probable count in our estimation though is that wave C of a flat is underway and will exceed 2.04.  This fits with the larger USD bearish count.  In summary, odds are high that the GBPUSD continues higher from current price.

STRATEGY: Bullish, against 1.9648, target 1 at 2.0175, target 2 TBD

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