The GBP/USD rose during the week to break above the 1.58 level again. The recent action has seen this pair bounce around between the 1.60 and 1.56 levels, and this latest move looks as if it is going to test the highs of this area yet again. The pair will be a better short than long, as the Bank of England is going to continue to ease, and the Dollar will continue to get a bid as the US economy is doing fairly well. The breaking below of the weekly candle would be a sell signal. The fading of rallies would also be an acceptable strategy as well, as long as we are below 1.60, as it would show real strength if we hurdle that handle.

GBP/USD

GBP/USD Forecast for the Week of March 19, 2012, Technical Analysis

GBP/USD Pivot Points (Time Frame: 1 Day)

 Name  S3  S2  S1  Pivot  R1  R2  R3

 Classic
1.5577
1.5637
1.5741
1.5801
1.5905
1.5965
1.6069

 Fibonacci
1.5637
1.5700
1.5739
1.5801
1.5864
1.5903
1.5965

 Camarilla
1.5799
1.5814
1.5829
1.5801
1.5859
1.5874
1.5889

 Woodie's
-
1.5648
1.5762
1.5812
1.5926
1.5976
-

 DeMark's
-
-
1.5935
1.5816
1.5771
-
-