FX Path

GBP/USD - Bumped Up Against Range Resistance

Posted: 14 Sep 2009 08:49 AM PDT

Unlike some other major dollar-based currency pairs, GBP/USD has not yet broken out of the prolonged sideways trading range that has characterized the pair for several months now. While a breakout above this trading range occurred in early August, price quickly re-entered the range and has traveled within it since then. With dollar weakening the theme for all of last week after the U.S. Labor Day, price once again revisited the top of the range (around the 1.6740 price region), but has retreated from this resistance level as of the beginning of the current week. For more technical analysis on this currency pair, please click here for Monday’s (9/14/2009) Chart of the Day.

- James Chen, CTA, CMT

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