Technical analysis GBP/USD 31 January 2013


Pair, as expected, continued to rise and has visited the 1.5800/20 resistance. Now the price is rolling back down an it  is already at 1.5790/95. It seems that the assumption of past comments about formation of side movement around 1.5800/10 – 1.5670/60 are confirmed. However, for the more persuasive in the development of the script you have to see a price drop below the support 1.5750. The indicators show omni directional, and contrary to expectations of side correction. However, the concern is the output of the SS oversold as this may be a sign of continued growth. Break of the 1.5820/10 resistance will indicate the probability of a test of resistance at 1.5900 in the near future. To obtain the same signal a reversal in the upward trend needs to breakdown the 1.6000 level.

GBP/USD - 31.01.13


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