Charts: WorldWideMarkets Flash Trader
Looking at the daily chart above, see the symmetrical triangle forming.
The base of the right triangle measurements are: 1.6878 being the high, while the low is 1.6695 with the difference being 0.0183 points to form the base.
The breakout from the tringle apex occured at the 1.6780 level following the release of the better than expected U.K. Unemployment Rate of 6.6% yesterday versus the median forecast of 6.7%. The following day, an upward channel developed as shown on the 30 minute chart which met the intraday resistance at 1.6840.
The price objective of the triangle breakout is 183 points with a potential medium term target of 1.6963 as cable appears to gather some upward momentum.
The upward momentum on the other hand, will oftentimes encounter a price correction before it reaches its potential target of 1.6963. The price corrections are described in the Fibonacci Arc retracements on the 30 minute chart, which are the near term support levels as well.