GBPUSD Rally Stalls at 61.8 Retracement
Prepared by Jamie Saettele, CMT
“As focused on last week, the GBPUSD decline from the top is in 2 equal legs (nearly to the pip). 2 equal legs is typical for a correction as is RSI turning up just above 40 after registering readings above 70 at the price peak. In summary, price relationships (2 equal legs) and the momentum profile paint a constructive picture.” The rally reversed at the 61.8% retracement of the decline from the top. There is also the presence of the 9/28 close (JS Thrust) at 16150 that serves as resistance. The early October high presents an objective level to turn bearish against for at least a pullback if not something bigger.
LEVELS: 16004 16053 16101 16178 16227 16309