Daily Forex Update: GBP/USD

GBP/USD has recently completed the high Quality Up Channel chart pattern identified by Autochartist on the hourly charts. The overall Quality of this chart pattern is measured at the 9 bar level as a result of the maximum Initial Trend (rated at the 10 bar level), substantial Uniformity (9 bars) and significant Clarity (7 bars). The top of this chart pattern (point C on the chart below) formed when the pair reversed down from the combined resistance standing at the intersection of the upper resistance trendlines of two more longer-term chart patterns identified by Autochartist for this currency pair (shown below). GBP/USD is expected to fall further toward the Forecast Price 1.5776.

As can be seen from the following GBP/USD charts, the point C of the above Up Channel formed at the intersection of the upper resistance trendlines of the longer-term hourly Up Channel and the 4-hour Rising Wedge chart pattern. Three chart patters pointing in one direction increase the likelihood of further losses for the pair.