GBP/USD forecast

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22 June 2009

H4 graph

The pair reached resistance level 1.6580, what caused very massive sells. After that it went under level 1.6460 ("a+" trend line), clearing the way for dropping to support 1.6250 ("P" trend line) that the pair is currently moving to. Basically, situation is favorable for lowering below level 1.6250 after passing support 1.6190 (the minimum of 06/18/09). Breaking of support 1.6190 will also set the lowering target to level 1.6050 ("C" trend line).

Daily graph

After getting over level 1.5300 (breaking the “Y-Y+” trend’s higher bound) the pair had set its target of growth to resistance level 1.6200 (“H” trend line). This level is meant to be reached in the course of “C-C+” uptrend. Upon reaching it and completing the 3rd up-trending wave, a correction is supposed to happen to support level 1.5300 (the 4th correctional wave).

Weekly graph

After getting over level 1.5300 (breaking the “Y-Y+” trend’s higher bound) the pair had set its target of growth to resistance level 1.6900 (“F” trend line). This level is meant to be reached in the course of “D-D+” uptrend. Upon reaching it, an intermediate resistance – level 1.6200 (“H” trend line and levels of Japanese candles) – will appear on the pair’s way. Due to the fact that 1.6200 is an important resistance, a correction is meant to follow from there and end up at support level 1.5300. Uptrend within the “D-D+” channel will be resumed from the same level and the pair will reach the target 1.6900. “D-D+” trend is completed in five waves.

Monthly graph

Bounce off level 1.3900 (“R” trend line) had provoked a rapid growth of the pair. The peak of growth is meant to be found at level 1.6900 (“F” trend line). Upon reaching this level there will be two variants of events to develop:

1. Having bounced off level 1.6900 and after the “D-D+” weekly trend is broken, the pair will get to support 1.4355.

2. If level 1.6900 is unable to show a sufficient resistance (the pair goes above this level), the pair will reach resistance 1.8530.

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