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12.07.2012 10:11 AM
GBP/USD Intraday Technical Analysis

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The spot rate is currently approaching the lower limit of its medium term bearish channel at 1.5420 and seems to initiate a rebound. However, a break through these levels will release good potential and initiate a more violent bearish trend.

Technical indicators provide sell-signals supporting the assumption of a decline. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement.

According to previous events the market will provide a bullish opportunity at the level of 1.5420 with the 1st objective at 1.5480 and then at 1.5500. A break through 1.5400 will alter this scenario.

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