GBPUSD Double Top

GBPUSD got rejected from 1.63 figure again. Yesterday's BoE's dovish comments accelerated move downwards. 


Pair has made a double top at 1.63 figure and it still looks week. Currently price is testing a resistance turned support. A break below this area comes 100MA & 200MA and a rising trendline. Moving Average and trendline may provide good support. Also support price is near to 1.60 figure and this figure may hold for some time to come.

GBPUSD Daily

But since the bad economic data out of UK, more setback in coming sessions are likely. 

If the 1.60 support holds then price may turn south from upper support-turned-resisitance area at 1.6075 area. This is the area I will be looking for to enter short positions. 


--------------------------------------------------------------------------------------------------

Update 12-Oct-12: Price is still consolidating between two horizontal support/resistance areas. 

GBPUSD Daily

I am still waiting for price to reach area of 1.6065/70/80, where I will looking to open short position. It should be a support-turned-resistance scenario. 

Overall, I am expecting the price to break to the downside.