GBPUSD right on pullback resistance, good entry
Sell below 1.3991. Stop loss at 1.4166. Take profit at 1.3639.
Reason for the trading strategy (technically):
Price has made a strong recovery last night and has pushed up to our selling entry once again. We remain bearish looking to selll on strength below 1.3991 resistance (Fibonacci retracement, horizontal overlap resistance) for a further push down to 1.3639 support (Fibonacci extension, horizontal swing low support, double top exit potential).
RSI (34) has made a bearish exit of our long term ascending support-turned-resistance line previously signalling a change in momentum.
Reason for the trading strategy (technically):
Price has made a strong recovery last night and has pushed up to our selling entry once again. We remain bearish looking to selll on strength below 1.3991 resistance (Fibonacci retracement, horizontal overlap resistance) for a further push down to 1.3639 support (Fibonacci extension, horizontal swing low support, double top exit potential).
RSI (34) has made a bearish exit of our long term ascending support-turned-resistance line previously signalling a change in momentum.