Tuesday, June 1, 2010

GU view

3rd party information.

GBP/USD
Stages a recovery off Monday's low at 1.4434 to threaten to re-open last Friday's 1.4610 high. Last week's bullish doji at the base of a sharp decline suggests a significant basing attempt is underway, and while projected support at 1.4333 remains intact, there is upside scope for further strength towards 1.4640 and the 1.618 extension target at 1.4745. However, the recovery should be limited to resistance from former range lows at 1.4785, and projected resistance at 1.4805. Only a break below 1.4333 would put near-term bears in control, exposing 1.4229/60.

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