Technicals

GBP/USD Fundamental Outlook at 1500 GMT (EST + 0500) GBP/USD Technical Analysis 7 October 2008 Market Moving News: GBP/USD - Oct 7 More GBP/USD

The chart shows my working count for the fall started from 2.0004. I think that it developed as a double corrective combination which ends with a triangle. This triangle could be already over and in such a case we should see an acceleration of the rise. A confirmation for this scenario will be above 1.9794. However one should keep in mind that as long as we stay below 1.9794, there will be no signal that triangle is already over and one more fall to 1.9670 could be expected. A key support is 1.9663

Trading strategy: 09:15 EST; 14:15 GMT

Long position from 1.9743, move the stop loss from 1.9645 to 1.9660, target - open

Add to the long position at market (1.9729), stop loss - 1.9660, target - open

Confidence level - medium

This analysis has only informational and educational purpose and does not represent a proposal for buying or selling currency contracts.