Forex Technical Update

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GBP/USD 1H Chart 8/7/2012 7:45AM EDT

GBP/USD 8/7/2012 1H chart

The GBP/USD continued to respect the rising trendline support in the 1H chart after testing it during early 8/6 US session, then again during early 8/7 European session. As we head into the 8/7 US session, the pair has already pushed above a declining trendline from the 7/27 high just below 1.5770.

Note the 1H RSI reading remained above 40 and is now kissing 70 again, reflecting a persistent bullish momentum developing in the near-term.

The GBP/USD is bullish in the near-term within a sideways market in the short to medium term as it has been ranging since mid-June. The resistance pivots in the upper part of this range are near 1.5725 and 1.5775.

Fan Yang CMT is a trader, educator and a Chief Technical Strategist for FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.

Information and opinions contained in this report are for educational purposes only and do not constitute an investment advice. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness. FXTimes will not accept liability for any loss of profit or damage which may arise directly, indirectly or consequently from use of or reliance on the trading set-ups or any accompanying chart analysis.