Discussion in 'Forex' started by AceTraderFX, Oct 30, 2007.

  1. Updating time : 30/10/2007 00:13 GMT

    GBP/USD - 2.0613...The British pound extended last week's rally n rose fm 2.0530 to 2.0644 on Monday due to dlr's weakness against other European currencies together with the active cross buying in sterling especially versus the Japanese yen on expectation of at least a 25 basis points interest rate cut by the Federal Reserve on Oct. 31.

    Y'day's rally signals MT uptrend has resumed n a re-test of this year's top at 2.0656 (July high) is envisaged, abv wud encourage for further gain to 2.0723 (50% proj. of 1.8517-2.0656 fm 1.9653), however, high readings on daily oscillators suggests strg rise abv there is unlikely to be seen n reckon 2.0761 (1.236 times ext. of 1.9653-2.0366 fm 1.9880) shud cap upside n yield a much-needed minor correction later this week.

    In view of present bullish outlook on cable, buying pullback is favoured
    as only a firm breach of y'day's low at 2.0530 wud prolong choppy consolidation below 2.0656 n risk retracement twds 2.0481, however, sup at 2.0426 (Oct 24) is expected to remain intact...