FX Path

Posted: 07 Oct 2009 08:45 AM PDT

Price action on GBP/USD, a daily chart of which is shown, has continued in its relatively tight consolidation with a bearish bias after breaking down below a rough, expanded head & shoulders pattern. The current consolidation can also be seen as a rough inverted flag/pennant formation. For more technical analysis on this currency pair, please click here for Wednesday’s (10/7/2009) Chart of the Day.

- James Chen, CTA, CMT

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