FX.co ★ GBP/USD - Bearish Outlook, January 25, 2012 (Daily Strategy)

GBP/USD

The British pound quoted at 1.5570 against the US dollar, with the downtrend in 4-hour chart, the pair has formed the following fractals (1.5606,1.5522,1.5438, 1.5355 and 1.5271). At the moment the pound is located below the 1.5606 fractal, we believe that pair will have to make a rebound to 1.5600, at this level and will be able to enter selling, or maybe push it upward momentum to weekly resistance 1.5680 (R_1). This level may serve as another entry point in our strategy. Our final objective will be 1.5350. On the other hand, the MACD indicators and the range both are showing bearish signals.