We can see that sterling has been declining since the start of 2018 with multiple rejections at 1.4000. Last month we saw some indecision around 1.3250 but ultimately closing below this area. EMAs have also been breached and a crossover looks imminent going into August.
The weekly has been an interesting time frame with long spikes to the bottom over the past few weeks. Sterling as been struggling around 1.3250 but since price has gapped at the begging of this week, testing our 8 , we have shot back down - perhaps reacting to the Brexit news. If we can close firmly this week below 1.3250, 1.3000 looks attainable.
The daily TF has been producing lower highs and lower lows consistent with a downtrend. Yesterday we saw some indecision with a - today we've seen a strong close below 1.3250 as well as our EMAs.
Again, price has moved into our preferred fib region which is confluent with the weekly area of 1.3250. Last week we saw some classic manipulation and price very quickly corrected and closed below 1.3250 forming an . We have since then broken our CTL and had EMAs crossover to the downside.