FX.co ★ GBP/USD Intraday Technical Analysis and Trading Recommendations for November 16, 2012

The GBP/USD pair has been fluctuating heavily within the past few weeks after the broken DAILY bullish channel was retested around the price zone of 1.6160 - 1.6180, failing to maintain a directional trend.
The false breakout above the short-term descending resistance depicted on the 4H chart was maintained at Daily Resistance Level 1.6160. It activated the bearish scenario, which anticipates further downside pressure this week, towards 1.5850 initially supported by the breakdown below 50% Fibonacci (1.5930) that took place on Friday last week.
Also the narrow consolidation range 1.6025 - 1.5925 was broken to the downside with a potential target near the price level of 1.5770.
Consolidation below the Intraday Support Price Zone 1.5900 - 1.5930 and breakdown of Intraday Support around 1.5850 are necessary to maintain the bearish movement. Otherwise, deeper bullish retracement may take place first.

Support: 1.5800, 1.5760, and 1.5670.
Resistance: 1.5920, 1.5950, and 1.6030.