Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-GBPUSD formed an outside day reversal near multi-month range highs. The combination is enough to take a bearish stance against Monday’s high.
-Near term resistance is 1.6175/85.
Trading Strategy: “1.6160-1.6200 is big resistance. I’ll be watching the market closely if that level is reached for a short setup.” The outside day is enough for me to turn bearish. Order to short at 1.6175, stop 1.6250, target half at 1.5907.
LEVELS: 1.6006 1.6071 1.6107 | 1.6177 1.6215 1.6259
--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com