GBP/USD Tests Range Lows; Break Targets 1.5715/50
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
Automate trades with Mirror Trader
-A multi-week head and shoulders top was confirmed on 10/9 (that doesn’t mean it can’t fail though). The underside of the neckline is now estimated resistance along with former lows from 1.6000-1.6030. Price traded in this zone and failed on Monday.
-GBPUSD has responded to support from the line that extends off of the July and August lows however.
Trading Strategy: Triggered short, stop 1.6020, target 1.5755. If taken out, then risk is for a larger correction of the decline from 10/4….probably towards 1.6090-1.6130 (50%-61.8% of decline).
LEVELS: 1.5870 1.5913 1.5950 | 1.6017 1.6050 1.6093
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