The GBP/USD pair fell during the Friday session, but found plenty of support at the 1.60 level in order to bounce and formed a nice-looking hammer. This hammer is formed essentially where you expected to be, and as such we would be very interested in going long of this market on a break of the highs from Friday. The market looks like it wants to consolidate between 1.60 and 1.63 in the near-term, and we will play it as such it until proven otherwise. We believe in the long term bullishness of this market though, and would be very quick to aggressively buy it above the 1.6380 level.
Written by FX Empire