08.09.201112:38 Forex Analysis & Reviews: GBP/USD Intraday Technical Analysis September 8, 2011

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

The GBP/USD is in a strong downside movement since it broke the bullish channel on August 30.

Yesterday We had a moderate bullish candlestick respecting the support level 1.5900 after breaking the previous support at 1.6100.

Thus we have a confirmed "Double TOP" on the daily chart with neck-line at 1.6100.

This double top has its target final target at 1.5740.

Now the downside movement seems to be temporarily limited by the support level 1.5900.

Based on the previous analysis and expectation, The best SELL areas are around 1.6100 ( broken neck-line ) and 1.6200-1.6250.

As we said above the final target for these short positions would be around 1.5740 with profit taking every 70 pips.

For the short term, long positions may be taken with small lot size to make use of the current retracement towards 1.6100 & SL break of 1.5900.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.