FX.co ★ GBP/USD Intraday Technical Analysis September 5, 2011

GBP/USD currency pair has broken the bullish channel started at 1.5779 but it's considered over-sold right now.

The pair is facing a considerable support 1.6100 now.

This support level 1.6100 is considered important as:

1. It's 61.8% Fibonacci level of the swing up contained in the broken bullish channel.

2. Previous low and the origin of a bullish engulfing pattern on the daily chart.

3. Previous broken high at formed last july.

Based on the previous analysis, There's bullish opportunity around 1.6100 with SL daily closure below it.

TP will be 1.6200, 1.6250 and 1.6300.