FXstreet.com (Barcelona) - The Pound has rallied more than 250 pips, to reach a fresh 2-week high at 1.6585, on widespread Dollar weakness, which, according to Mohammed Isah,technical analyst at FXTechstrategy could set the pair's target at 1.6622.
Isah observes the Pound on its way to 1.6622 with Euro at year to date high, and Dollar weakening across the board. As strong upside gains continues to be seen pushing GBP higher in early trading today, the pair now runs the risk of further upside targeting its Aug 21'09 high at 1.6622. With its counterpart EUR currently seen taking out its YTD high at 1.4446 and across the board Dollar weakness seen, higher prices remains on the cards for GBP. In such a case, a clean break and hold above the 1.6622 level will target the 1.6742 level, its July 30'09 high and then the 1.7000 level.
On the downside, Isah foresees: A pullback in its current upside recovery could see the pair turn lower aiming at the 1.6321 level, its Sept 08'09 low followed by the 1.6111 level, its Sept 01'09 high with a loss of there pushing the pair further lower towards the 1.5982 level, its July 08'09 low and then the 1.5798 level, its July 08'09 low.