Flash: GBP/USD explodes higher to reach the 200 day ma - Commerzbank

FXstreet.com (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank notes that GBP/USD has exploded higher and we will have to allow for further upside gains to 1.5551 the 78.6% retracement.

Key Quotes

“The 200 day ma also lies here at 1.5536 and directly above here are the 1.5605 May high..”

“The Elliott wave count is suggesting we should stall here, but we have a number of conflicting signals. However yesterday's move was a huge outside day to the topside.”

“Above 1.5605 we would have to allow for a challenge to the 1.5752/59 June high and the 200 week ma. The market stays bid above the 6 week channel at 1.5168.”

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