GBPUSD: The pair has rallied through its minor resistance at the 1.6039 level and its daily 200 ema at 1.5999, opening the door for further upside towards the 1.6204 level, its Sept 08’2011 high. It is now seen testing its .618 Fib Ret (1.6614-1.5270) at 1.6106. GBP has been on upside offensive since reversing higher off its Oct’2011 low at 1.5270. With that trend remaining intact, above the 1.6204 level should open the door for a run at its Aug 30’2011 high at 1.5418. Its daily RSI is bullish and pointing higher suggesting further strength. On the downside, support lies at the 1.6069/39 level where a reversal of roles as support is expected to occur and turn it higher. Further down, support comes in at the 1.5850/63 levels, its Sept 15’2011/Oct 14’2011 highs and subsequently the 1.5713/1.5687 levels. Below here will turn focus to its Oct 12’2011 low at 1.5541. On the whole, the pair continues to maintain its short term uptrend tone as it looks to strengthen further.
