GBPUSD: The pair continues to build on its past week gains strengthening on Monday and following through higher in early trading today. However, GBP remains trapped within its range between the 1.5964 and the 1.6342 levels.
Guest post by www.fxtechstrategy.com.
Above the 1.6397 level, its Mar 22’2011 high is required to bring the pair out of its range and then target the 1.6455 level followed by the 1.6720 level. On the downside, a trade below the 1.5964/35 levels will have to invalidate its present bullishness.
This will resume its weakness started from the 1.6397 level and then aim at the 1.5819 level, its Jan 19’2011 low. Further down, support lies at the 1.5700 level.
All in all, though retaining its long term bullish structure, GBP continues to be trapped within its range though strengthening.