GBP/USD fell hard during the Monday session, but bounced from the 1.60 level – an area that we said could produce support. The shape of the daily candle is a hammer, and this also shows that the market “prefers” a move to the upside. The area should support the market from here on forward. A break of the highs from Monday is a classic buy signal in the market. The breaking below of the lows from the Monday session would be massively bearish.
Written by FX Empire