GBP/USD 1.5920 - 27 January 2011

GBP/USD Open 1.5922 High 1.5941 Low 1.5768 Close 1.5930

On Wednesday Pound/Dollar started partial, but not insignificant 180 pip recovery from Tuesday's losses, in line with the positive Interbank sentiment at almost +5%. The Cable appreciated from 1.5768 to 1.5941 yesterday, closing the day at 1.5930. Today the British Pound is trading quietly and without clear direction for now. On the 1 hour chart the upward channel is on hold, while on the 3 hour chart trading is at the upper side of the wide trading range. First resistance is yesterday's peak at 1.5941. Break above it should extend the bullish movement further towards the 1.6062. The nearest support is yesterday's bottom at 1.5768. Going bellow it should extend British Pound's reduction further down towards next downward objective 1.5630. Today is UK CBI retail sales volume balance at 11 GMT. Quotes are moving bellow the 20 and above the 50 EMA on the 1 hour chart, indicating short term bearish and medium term bullish pressure. The value of the RSI indicator is positive and declining, MACD is positive and tranquil, while CCI has just crossed down the 100 line on the 1 hour chart, giving overall light short signals.
Technical resistance levels: 1.5941 1.6062 1.6200
Technical support levels: 1.5768 1.5630 1.5500

Trading range: 1.5930 - 1.5860
Trend: Downward
Sell at 1.5920 SL 1.5950 TP 1.5870

Already made +38 pips profit on GBP/USD today from the following signal:
5:31 GMT Buy GBP/USD at 1.5906 SL 1.5880 TP 1.5966, exit sent at 7:36 GMT.
Today so far +131, yesterday +77, as shown in details at