By: Doug Rosen
Looking at this pair I see what could be a Weekly Double Bottom at 1.5785 and price is still far enough from the Weekly and Daily ema's I think price needs to continue upward a bit.
The EUR/GBP chart looks bearish which would cause GBP strength and the US Dollar Index displays a weaker USD so if the GBP appears to be strong and the USD appears to be weak, I would consider a GBP/USD long. I don't see too much in the way before 1.5915 so if I were to take a long, 1.5905 would be my target since that is the Daily R1 Pivot Point.
If price were to fall then I would watch for a break below the Daily Central Pivot Point at 1.5839, then a retest then take a short with a stop just above 1.5845 but this pair looks like it needs to rise a bit higher before it continues its course to the downside. Once price reaches 1.5915 area then I would start looking for reasons to take shorts on this pair.
