GBP/USD Retraces Monday Drop ahead of BoE Minutes
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
FOREXAnalysis: The GBPUSD hasn’t quite reached previously mentioned levels of interest, which include 1.5460 (2 equal legs from the low), 1.5500 (top of former congestion) and 1.5605 (50% retracement). Viewed in the context of the bearish break from a 4 year triangle in February, we should be looking to align with the downtrend after a month of gains. Friday’s inside day setup was resolved to the downside which offers a level (1.5411) to operate from the bearish side. Resistance is 1.5384.
FOREX Trading Strategy: Short, stop 1.5415, targets 1.4910 and open. EURGBP characteristics are bearish GBP. If stopped out on BoE minutes, then estimated resistance is 1.5460.
LEVELS: 1.5204 1.5269 1.5328 1.5384 1.5461 1.5549
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