GBP/USD Intraday Technical Analysis and Trading Recommendations for March 16, 2012

The Intraday support level 1.5640 showed the presence of bulls which absorped the bearish movement initiated at 1.5740.

The GBP/USD pair has an intraday resistance level 1.5700 - 1.5710 which is passed through though without obvious bullish stabilization above.

The pair has another resistance area at 1.5750 -1.5760 corresponding to the upper limit of the yellow channel which is expected to be defended by bears.

A breakdown of this resistance level enables the pair to resume the bullish movement within the violet channel towards 1.5800.

A breakdown of the lower limit of the violet channel at 1.5690 opens the way for a quick decline of the GBP/USD pair towards 1.5620-1.5630.