The Pound has come under the spotlight since the start of 2016 all because of the EU referendum. I expect the Pound to see even more weakness right up until the referendum date. Here we have a short term ascending trend line
inside of a huge downtrend and we have been making LH and LL since mid-Feb.
Here were my reasons for a short position:
- Daily rejection of 50 EMA
- Daily bearish engulfing
- Rejection of 0.5 fib line
If we see a break of the ascending trend line
, expect price to continue south until next major support at 153.