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06.01.2012 03:18 PM
GBP/USD Intraday Technical Analysis & Trade Recommendations for January 6, 2012

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GBP/USD declined rapidly having hit the resistance level of 1.5640 in our suggested short position which hit two of its TP levels at 1.5555 & 1.5470.
Now the pair is testing the support level - 1.5470 - which may hinder further decline of the pair’s price today.
However, its puncture will open the way for the pair to 1.5430 and then to 1.5370.
If support level 1.5470 holds the price above, this will let the pair retrace to the upside aiming at 1.5580 which will be a good SELL entry with the same TP for the original position at 1.5555, 1.5470,1.5430 and then at 1.5370.
Based on the previous analysis:
The overall view for GBP/USD is still bearish, so SELL entries can be taken EITHER at 1.5580 with TP at 1.5555, 1.5470,1.5430 and at then 1.5370, OR after breaking through 1.5470 with TP at 1.5430 and then at 1.5370.

 

 

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