05 Juni 2018, GBP/USD
Technical observation
On the daily chart above, GBP/USD has been trading on a downward trend with retracements at the resistance zone1.3557-1.3519.Recently, price rallied down towards a support line 1.3309, it broke below it but was not contained then went above it again. Currently price is at 1.3309 and I expect either a retracement to 1.3557-1.3519 or a clear breakout below 1.3309 followed by a correction to it for bearish movement of price towards 1.3060.In case of a pull back to 1.3557-1.3519, short GBP within the zone with your take profit at 1.3309, but if it breaks below 1.3309,wait for a correction to it then short GBP on the second retracement to it.
Technical levels
Resistance levels
R1.1.339
R2.1.343
R3.1.3539
Pivot
1.3322
Support levels
S1.1.3281
S2.1.3213
S3.1.3104
Trade signal
Remain flat temporarily
101% Double the volume