FMFX

GBPUSD UPDATE

Price rallied to the highs at 1.6340 and still managed to hold resistance. This time, however, prices broke down to the 50% Fibonacci retracement level at 1.6187. This was the much anticipated sell-off, I had been waiting on all last week.

Now that prices have reached these levels, expect a bounce back towards 1.6250. If price remains weak, it should find resistance at 1.6240/60 before another wave down towards the 61.8% Fibonacci retracement level at 1.6150. Only a break above 1.6280, changes the intraday bearish sentiment.

Short-term, however, cable still remains bullish even at current levels around 1.6200.