GBP/JPY ââ,¬â€œ The GBPJPY continues to increase in a linear fashion ââ,¬â€œ rallying nearly 1,000 pips since Thanksgiving (not a typo).  Calculated pivot points give us levels to reference before the next major chart resistance level near the 1998 highs at 240.00.  Monthly R2 pivot is at 231.39 (todayââ,¬â"¢s high is at 231.40).  Daily, weekly and monthly RSI are all above 70.  Long term technical readings are significant.  While a bearish signal does not occur until the indicator crosses below 70, it is important to be on the lookout.  The fact that RSI is above 70 on a monthly chart should be a warning that the pair is closer to a major top than a bottom.

GBP/CHF ââ,¬â€œ The GBPCHF is approaching resistance from a line drawn off of the 3/3/2004 high and 11/3 high.  That line is at 2.3860.  A break higher would be long term bullish.  Daily oscillators continue to increase, with MACD and 21 day momentum just crossing into positive territory.  The bull trend remains in place as long as price remains above the trendline drawn off of the July and November lows (line is in red).

GBP/AUD ââ,¬â€œ GBPAUD appears to be tracing out a head and shoulders reversal pattern.  This pattern would be completed on a break below the neckline, which is just above 2.4600.  A break below the line would warrant a bearish bias and shift focus to the 7/26 low at 2.4242.  Short term support is at the 11/30 low at 2.4774.  The 12/4 high at 2.5185 needs to hold as resistance for the head and shoulders pattern to remain valid.

Jamie Saettele is a Technical Currency Analyst for FXCM.