Strategy: Pending Short
GBPUSD put in a bullish Hammer candlestick above double bottom support at 1.5336, a level that has upheld prices since August 2010, with positive RSI divergence bolstering the case for a corrective rebound. We will treat the bounce as a selling opportunity. Initial resistance lines up at 1.5631, the 23.6% Fibonacci retracement level.
Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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