Daily Trading Strategy Report: GBP/USD - OBJECTIVE MET

Bearish outlook remains (210 Pips Profit)

Writtern by www.imperialFXonline.com

Time: May 11th 2010, 04:10GMT

Currency Pair: Gbp/usd
Rate : 1.4800
Strategy : Target Met
Position : Short at 1.5010
Objective : 1.4800

Resistance levels : 1.5055 / 1.5106 / 1.5186 / 1.5280 / 1.5391
Support levels : 1.4759 / 1.4653 / 1.4476 / 1.4398 / 1.4300

Retreat from 1.5055 keeps price under pressure
Below 1.4650 is needed to shift focus to downside

The sterling's retreat from 1.5055 (optimism over the early announcement of the European bailout plan is waning while concerns over the hung parliament in the U.K. will continue to weigh on the pound) points to a minor top formation there and a bearish bias is for the pound to fall to 1.4800 and possibly 1.4750/60, however, the low made last week at 1.4476 looks set to hold for now and further consolidation is likely in the short term.

We are holding our short position with a lowered stop to protect the potential profit and only above 1.4950/60 would risk another rise towards 1.5055.

Writtern by www.imperialFXonline.com

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