The GBP/USD pair attempted to rally during the Tuesday session, but pulled back and formed a shooting star at the 1.61 level. While we do see this as a potential resistance area, we think this will simply be an area that we pulled back to larger support at the 1.60 handle. After all, when markets try to reverse a trend they tend to “climb a wall of worry”, and that’s exactly what this looks like. We are still bullish of the cable pair, and will continue to buy on supportive action. Right now though, it does look like we will fall slightly in order to attract more buyers.
Written by FX Empire