GBP Trading Outlook (29-10-2015)

Medium Term Strategy: Forex Pair of the day

GBP/USD – on the upside
The pair has rebounded above the strong support at 1.5070 and is currently posting a pull back. Thus, as long as 1.5070 holds on the downside (horizontal support and overlap), a rebound is likely with 1.5660 as a first target (September top) and 1.5940 in extension (June top and previous overlap). A third target is set at 1.6190 (61.8% retracement of the July 2014 to April down leg). Only a break below 1.5070 would turn the outlook to bearish with a first alternative target set at 1.4850 (horizontal support) and a second one set at 1.4560 (horizontal support and April low).
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