The GBPUSD was indecisive yesterday, made a Doji on daily chart. The bias is neutral in nearest term. A look on daily chart shows us that price is making smaller bullish candle in the last three trading days compared to the big bullish candle on January 12 suggests that the bullish power is decreasing, but for me that is just a normal consolidation and still within the context of a bullish scenario testing psychological level at 1.6000 which is a key level at this phase. Clear break above that area could trigger further bullish scenario testing 1.6300 this week. Immediate support at 1.5834 (yesterday’s low). Break below that area could trigger further bearish pullback testing 1.5780. Below 1.5780, we have 1.5650 as a key support level. I don’t expect a movement below 1.5650 as it would be a threat to the bullish scenario.
©2011 FX Instructor Forex Blog - For Traders, By Traders. All Rights Reserved.