GBP/USD – What To Expect Part 2

September 13, 2013 in Chart Alert

GBP/USD moved exactly as we had predicted in our previous chart alert titled GBP/USD – What to Expect?. In fact it would be better to see that post first.

The pair moved up to 1.5885 which was just 8 pips below the lower range of the resistance zone mentioned in the last and above mentioned update.

This move brought GBP/USD almost at the trend line which was previously the support trend line but later had turned into a resistance trend line.

GBP/USD weekly chart for past 4 years

GBP/USD at the trend line resistance

Let’s see another weekly chart with retracement levels:

GBP/USD broke over the retracement resistance level

As clear by the above chart that a break over 1.5789 had represented a break over 61.8% retracement level of the move from 1.6381 to 1.4831. The pair had failed well ahead this level twice. This break surely indicates the bullish sentiments. However a caution is required considering the trend line resistance as indicated in the first chart.

What to Expect?

Resistance in the 1.5893 to 1.5940 zone is still expected. A break above this should target 1.6000 psychological zone but again a resistance will be expected in 1.6000 to 1.6015 zone.

Please share your opinions in the comment box below to discuss about the GBP/USD price action more.

3 responses to GBP/USD – What To Expect Part 2

  1. U r great man..thanks for the sharing. I manage to take over again my money that lost for past few years.. Hope can be like u man, shared for everyone benefit..thanks again.

  2. You are welcome Volkan and hope that you could also share your experiences with this community.

  3. Thanks very much for sharing this. It is extremely helpful for setting up a pending order.