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GBP/USD Trending Up

By Doug Rosen
Doug Rosen is a Florida-based Forex trader who became a skilled technical trader through 3 years of intense practice and self-teaching. He now coaches a live trading room and analyzes the market on forextradeplans.com.

By: Doug Rosen

Starting off with the daily chart it is obvious price is riding the 5 ema up and this pair has been looking quite bullish and has breached the daily 144 ema with an upper Bollinger band pointing, however, I cannot disregard the fact that we are in between the 50.0 and 61.8 fib level of the last major drop down.

 GBP/USD Daily Analysis, October 27, 2011

We are in a zone where anything can happen.  We are also back up against the lower channel line of the price channel we broke out of and it coincides with the fib so this could be the area where price begins to head back down. 

 GBP/USD 4hour Analysis, October 27, 2011

Moving on to the 4 hour and monthly pivot point chart I can see we hit the R3 at 1.6010 then retraced back down and made a 38.2 fib and price is now heading back up. 

Looking at the hourly and weekly pivot chart price is still above last week's high but looking very toppish around 1.6045. 

 GBP/USD 1hour Analysis, October 27, 2011

Finally, looking at the 15 minute and daily pivot chart I can see price is riding the 21 up and the lower Bollinger band is also just under price action acting as dynamic support.  It is currently breaching the daily M3 at 1.6008 but the upper Bollinger band is closed and pointing down and the stochastic is also pointing down.  We could be at the area where price may be rolling over to the downside.  We will have to just watch this pair very carefully.


Doug Rosen
About Doug Rosen
Doug Rosen is a Florida-based Forex trader who became a skilled technical trader through 3 years of intense practice and self-teaching. He now coaches a live trading room and analyzes the market on forextradeplans.com.
 

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