The GBP/USD pair initially rallied during the Monday session, but found resistance that push the market back down and formed a shooting star. This shooting star sitting just on top of quite a bit of noise, and as a result we think there is quite a bit of support below. However, we see the 1.60 level as being very supportive, and instead of trying to short into all of these minor support levels, we would prefer to see what the market does once we reach the 1.60 handle.
Any type of supportive action the 1.60 has as buying this pair, as we do believe in the longer-term uptrend. Nonetheless, if we do not get that trade, we are more than willing to let the trade go as there is far too much noise all the way down the 1.58 level in order to be involved unless we get the nice buying opportunity.
Written by FX Empire