GBP/USD rose during the Monday session as traders were in a light volume scenario. The holiday trading in the US will certainly have seen very light volumes. The 1.53 level continues to fight and offer support for the pair. The market has a massive neckline at the level, and the breaking below of that level a few sessions in a row is a serious attempt to drive the rate down. However, we need to see the daily close below that level before we could sell. The pair looks very weak overall, and as a result we are not willing to buy. A daily close below 1.53, or a rally and a weak candle both get us selling cable.
GBP/USD Forecast January 17, 2012, Technical Analysis