FX.co ★ GBP/USD intraday technical levels and trading recommendations for September 12, 2013

Strong bullish sentiment was found in the support zone around 1.4830, which pushed the pair to the upside reaching 1.5400 then 1.5700 where two prominent tops were established.

The uptrend line around 1.5430-1.5400 applied bullish pressure on the pair which was able to break trough 1.5720 which corresponds to August's highest level.

The market expressed obvious closure above 1.5575 which invalidated the H&S reversal pattern. This renders the pair bullish towards 1.5900 in the short-term prospect.

It is important to note that the market expressed a strong bullish engulfing weekly candlestick unlike the precceeding one. That's why, bullish momentum is obviously witnessed during this week.

Fibonacci Expansion based on the previous swing gives a potential target for the current move up to 1.6040. All bullish expectations depend on not breaking 1.5720 to the downside again.