Last week, the pound fell from the level of 1.6135, until the 1.60 psychological level. Now it is showing a recovery week and is trading at 1.6081and above the 1.6055, weekly pivot. It is likely to be a continuation of the downtrend. Now it has a resistance front at the level of 1.6111. If this level is broken and if the pair closes above this price it can continue rising until the level of 1.63.
The currency is trading above the weekly pivot and above the 200 day moving average periods and above the psychological level of 1.60. It is likely to be a downward correction towards the support nearest 1.5982 weekly (S1). Therefore, we consider that the following signal will have validity for all this week.
1.6055 and 1.6004 are weekly and monthly pivot points for this week for GBP/USD.
Signals for December 10 - 15, 2012
Sell if pullback is at 1.6111 (W_R1) with take profit at 1.6055 and 1.5982, stop loss is above 1.6184 (W_R2).
____WEEKLY_____
Weekly - R3 = 1.6240
Weekly - R2 = 1.6184
Weekly - R1 = 1.6111
Weekly Pivot = 1.6055
Weekly - S1 = 1.5982
Weekly - S2 = 1.5926
Weekly - S3 = 1.5853
If you would like to get this indicator, feel free to contact me via e-mail: gerardo.porras@analytics.instaforex.com
_____MONTHLY____
Monthly - R3 = 1.6530
Monthly - R2 = 1.6353
Monthly - R1 = 1.6181
Monthly Pivot = 1.6004
Monthly - S1 = 1.5832
Monthly - S2 = 1.5655
Monthly - S3 = 1.5483
