GBP/USD Holds 1.5100 but Bullish Pattern Allows for a Final Dip
240 Minute Bars
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
FOREXAnalysis: Stay with the larger GBPUSD recovery scenario given the strong rebound off of the 61.8% retracement of the 2009 range. Action since the 1.4831 low probably composes just part of a recovery towards 1.5400-1.5600. The drop from 1.5259 stopped at the 38.2% retracement but it’s unclear if the dip is complete. A drop into the 50% or even 61.8% levels would NOT negate the larger recovery scenario.
FOREX Trading Strategy: Bullish but need to allow for additional weakness so keep powder dry. Would add to longs at 1.5050. Pay attention to the London open if trading GBPUSD.
LEVELS: 1.4994 1.5045 1.5092 1.5259 1.5320 1.5415
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