in the picture, you can see my analysis in this case I have 2 confirmations and some market structures. for confirmation in zone blue this indication for price action and think price bearish and make HL in the zone, in fib retracement in between 0.5 - 0.618. saw in D1trend bearish
Last week GBP was rising because of weakness of USD. We hit 1.40 resistance level and fell below. Last time when this happened GU fell to 1.3685. I will sell this with target on channels bottom on 1.38. We're waiting for high volatility next week referring to GDP and a lot of bad news for GBP. Feel free to short this one, but set your stop losses above 1.4020. GL & HF
Entry parameters for a short entry is based on the following;
1. Price action pattern (double top) at resistance zone.
2. Confirmation of bearing engulfing candle on 1hr time frame.
3. Confirmation of divergence on RSI