Bouncing off neckline | 05 November 2013
05 November 2013, GBP/USD
GBP/USD has bounced off support from the neckline of a double top reversal pattern. It is not a strong bounce but it is possible it could rise slightly further up to resistance at 1.6000, which is, however, now only about 20 pips away. There is a very strong possibility of a break below the neckline which, as said in yesterday's analysis: “Would be marked by a move below 1.5880 perhaps – or more conservatively 1.5850. Such a break would probably generate a down-target to 1.5490, or to the most recent count on the 7.5 pip chart, calculated from the 20 box column down which has generated a target at 1.5615.”
The author's opinion reflects their personal view and is not an investment recommendation. The company is not responsible for any trading results based on the provided analytical data.
