GBP/USD 1.6056 - 30 September 2009

GBP/USD Open 1.5962 High 1.6086 Low 1.5829 Close 1.5959

Pound/Dollar made a downward movement on Tuesday, reaching the 1.5829 bottom, as expected, where a the bearish impulse was limited and the Cable started rising up up to 1.5990, closing the day at 1.5959. After the strong downward momentum on 24-25 September down to 1.5925, the British Pound was oversold and the current upward correction is very normal. While the Sterling is trading under 1.6000, our preferable scenario would be bearish. The current break up of that level may however prolong the upward correction, or terminate it, and cause potential test of the of the 1.6200 resistance. Immediate support is yesterday's bottom at 1.5830, followed by 1.5700. The CCI indicator has crossed up the 100 line on the 1 hour chart, suggesting upward prospects for the British currency.

Technical resistance levels: 1.6085 1.6200 1.6335

Technical support levels: 1.5830 1.5700 1.5570

Trading range: 1.6045 - 1.6120

Trend: Upward

Buy at 1.6056 SL 1.6026 TP 1.6106

Already made +27 pips profit on GBP/USD today from the following signal:

5:39 GMT+1 Sell GBP/USD at 1.6029 SL 1.6055 TP 1.5969 exited at 6:21 GMT

Today so far +103, yesterday +177, as shown at