Description
⋅ GBP sold-off in a spontaneous reaction to the overnight result of the UK vote.
Bears now eye 200-DMA at 1.6709, violation there could see 1.6683 (weekly 20-SMA). Bearish invalidation only on close above 20-DMA at 1.7291.
Technical indicators on weekly charts are also biased lower, RSI points south, while Stocks are on verge of rollover from overbought zone.
Support levels - 1.6776 (50% Fib of 1.5902 to 1.7650 rally), 1.6708 (200-DMA), 1.6695 (100-DMA)
Resistance levels - 1.6880 (Apr 24 low), 1.6983 (38.2% Fib), 1.70
Recommendation: Bias lower, stay short for 1.6780, 1.67.