GBP/USD 1.6374 - 23 September 2009

GBP/USD Open 1.6361 High 1.6414 Low 1.6212 Close 1.6357

On Tuesday Pound/Dollar rose significantly from 1.6212 to 1.6393, closing the day at 1.6357. Of the 1 hour chart after being unable to break under the 1.6113 support level, the Cable climbed. As the British currency, however is overbought, our expectations are bearish in the short term, with objectives towards next support at 1.6210, as the currency pair in in a correctional phase now. Break under it may trigger another weakening of the Sterling towards 1.6100. Immediate resistance is 1.6415. Overtake of this level may strengthen the Pound further with possible test of 1.6530. The CCI indicator is in the overbought zone and downwards on the 1 hour chart, suggesting further potential weakening of the British currency.

Technical resistance levels: 1.6415 1.6530 1.6665

Technical support levels: 1.6210 1.6100 1.5970

Trading range: 1.6385 - 1.6310

Trend: Downward

Sell at 1.6374 SL 1.6404 TP 1.6324

Already made +26 pips profit on GBP/USD today from the following signal:

5:32 GMT+1 Buy GBP/USD at 1.6388 SL 1.6362 TP 1.6448 exited at 5:55 GMT

Today so far +93, yesterday +113, as shown at www.zifx.com/performance.php

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