This morning the pound was trading at 1.5548, after having covered the gap it had left earlier. If you look at the chart you will notice that last week this pair stopped just below the 200-day moving average. However, given that this pair is correcting after having a bullish rally, at the weekly pivot area support is located at 1.5477. If the pair manages to bounce off this level we recommend buying back with objectives in the 200 EMA blue by 1.57 level. On the other hand, below the weekly pivot point downward force could intensify to the nearest support of 1.5272.Therefore, we recommend the following trading signals that will be valid for all this week.
Signals for June 10 - 15, 2013
Sell if it pulls back around 200 EMA (Blue) (W_R1) with take profit orders at 1.5550 and 1.5477, stop loss is above 50 pips above the firts weekly resistance.
Buy if the rebound is around 1.5477 (W_PPV) with take profit at 1.57, stop loss is 50 pips below the weekly pivot point.
Sel if it closes below weekly pivot of 1.5477, with take profit at 1.5272, stop loss is above 1.55.
____WEEKLY_____
Weekly - R3 = 1.6252
Weekly - R2 = 1.5967
Weekly - R1 = 1.5762
Weekly Pivot = 1.5477
Weekly - S1 = 1.5272
Weekly - S2 = 1.4887
Weekly - S3 = 1.4782
_____MONTHLY____
Monthly - R3 = 1.6128
Monthly - R2 = 1.5866
Monthly - R1 = 1.5532
Monthly Pivot = 1.5270
Monthly - S1 = 1.4936
Monthly - S2 = 1.4674
Monthly - S3 = 1.4340
If you would like to get this indicator, feel free to contact me via skype: gerardofx or e-mail: gerardo.porras@analytics.instaforex.com