GBP/USD 1.5605 is Formidable Defense

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eliottWaves_gbp-usd_body_gbpusd.png, GBP/USD 1.5605 is Formidable Defense

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

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FOREXAnalysis: After 6 up days, the GBPUSD has churned for 3 days. There is no certainty in market analysis or trading but this is a perfect place for a top. The 50% retracement of the decline from the January high, channel resistance and internal trendline that dates to September 2012 are a formidable barrier. When considering the break of the 4 year triangle (red line on chart is former triangle support) in February, it is possible that an incredibly important top is in place at the May 1 high. Even if a top of importance is in place, there will be bounces along the way…especially in the early going. 1.5420 may be a level that produces a decent bounce

FOREX Trading Strategy: Stay short against the high, target half at 1.5420

LEVELS: 1.5380 1.5418 1.5480 1.5555 1.5605 1.5688

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