FX.co ★ GBP/USD - Key level 1.51 - for July 31, 2013 (daily strategy)

The pound shows weakness, without fundamental at the time. However, with the monetary policy announcement scheduled for Thursday and an oversold level in the short term it could at least slow its fall in the 1.51. Given that this pair, before data is known later today and tomorrow, is showing oversold levels and we think there may be a rebound in that area, because the Momentum Indicator is touching the line of the MACD. If it is broken, the bearish signal would be confirmed and it would be the beginning of a new bearish wave, which would lead to the minimum of 1.4850. We therefore recommend buying in 1.51 with take profit at 1.5280, as shown in the chart below.

If you need personal consultation, Skype: gerardofx or contact me via e-mail: gerardo.porras@analytics.instaforex.com