GBPUSD: Candle Setup Hints at Upswing
GBPUSD put in a Bullish Engulfing candlestick pattern above resistance-turned-support at the upper boundary of a wedge chart formation carved out since mid-January, hinting a bounce higher is ahead. Near-term resistance lines up at 1.6291 at a major falling trend line that has capped the upside since late April 2011. Near-term wedge top support is now at 1.6153. We will stand aside for now and see how prices react on a re-test of the key resistance before entering a trade.
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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