Flash: GBP/USD starting to erode the 3 month uptrend - Commerzbank

FXstreet.com (Barcelona) - Karen Jones, Head of technical Analysis at Commerzbank notes that GBP/USD just about closed below the 3 month uptrend yesterday, ideally she would like to see further weakness today but the market remains vulnerable on the downside.

Key Quotes

“Intraday charts are suggesting that we should see the market struggle now 1.6090/1.6140. Rallies are expected to find the 1.6259 early October high and the 1.6302/69 2012 highs and 2009-13 resistance line tough overhead resistance.”

“We look for losses to the recent low and initial Fibo support at1.5896/1.5915. Failure there will target the 38.2% Fibonacci retracement of the July-to-October advance at 1.5705 and possibly 1.5535, the 50% retracement.”

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