Prepared by Jamie Saettele
Divergence with highs over the past month warns of a GBPUSD top. Resistance extends as high as 16457 (2010 high) but a top may be in place just shy of 16350. Do not dismiss the recent COT readings , which indicate extreme bullishness among the specs. The above chart depicts interest rate differential along a proprietary indicator that compares interest rate differential trend and price trend.