FX.co ★ GBP/USD Intraday Technical Analysis July 29, 2011

GBP/USD showed strong bullish reaction towards the support level 1.6262 marked on the chart.

This bullish reaction is present at the bullish engulfing 4H candlestick this may push the pair up to the high 1.6450.

Also it's important that we have a head and shoulders pattern but seems to be a trap.

We need to stabilize above the high 1.6450 to resume the bullish domination of the market.