GBPUSD: The 1.6602/92 Levels Seen As Next Targets.
GBPUSD- Although a two-day rally started off the 1.6260 level has put GBP on an upside offensive, a decisive break and hold above the 1.6602 level, its Oct 29'09 high and the 1.6692 level, its Oct 23'09 high must occur to reduce its current SH downside risk. If this materializes the 1.6740 level, its Sept 11'09 high will be targeted with an eventual loss of there setting the stage for a retarget of its YTD high at 1.7041. Beyond the latter will activate the resumption of its medium term uptrend on hold since Aug'09. On the other hand, failure at higher price will put supports located at the 1.6327 level, its Nov 02'09 high and the 1.6260 level, its Nov 03'09 low under pressure with a break targeting its Oct 30'09 high at 1.6124 level and then the 1.6000 level. On the whole, with higher prices continuing to be seen, GBP looks to target the 1.6602/92 levels though seen hesitating in early trading today.
Daily Chart: GBPUSD