The GBPUSD halted its losses few days ago at the 1.6260 levels – 50% retracement – of 1.5853 / 1.6668 run , and formed a rising support channel , momentum indicators show that fall from 1.6668 losses its momentum , resistance comes at the 1.6440 levels , sustained trading above this level will suggest that fall from probably is over , If seen the pair is likely to recapture the 1.6668 levels, a halt could be seen , but break of 1.6668 would target 1.6889 levels – %127.2 extension – of 1.5853/1.6668 run which is close to 1.6876 levels – 2009 highs .
On the downside , sustained trading below 1.6260 will extend losses to 1.6180 where levels where a breach will turn focus on the 1.6050 levels, further out will aim the 15853 levels.
The smart question is ?!!!
What would happen after U.S. N.F.P ?!!!
Keep an eye on the 1.6260 levels and 1.6440 levels , any release above 200K followed by a break below 1.6260 is likely to extend losses towards the psychological level 1.6000 !!!!!!
Any release below 150K followed by a break of 1.6440 – sooner or later – will send the pair towards the 1.6668 levels and possible higher…
Any read within 150K -200K range may bring sideways move within 1.6260/1.6440 range……..
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Daily Chart of GBPUSD