GBP/USD Technical Analysis – Prices advanced as expected after putting in a Bullish Engulfing candlestick pattern. A break above resistance at 1.5465, the 76.4% Fibonacci retracement, has exposed the May 1 high at 1.5606.This barrier is reinforced by the underside of a formerly broken rising channel. A push higher aims for the 123.6% Fib extension at 1.5747. The 1.5465 mark has been recast as near-term support, with a move beneath that eyeing the 61.8% retracement at 1.5377.
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya’s e-mail distribution list, please CLICK HERE
New to FX? Watch this Video. For live market updates, visit the Real Time News Feed