The pair is once more testing the 1.5200 major psychological resistance for today. The level has held earlier this week as price dipped back to the 1.5100 major psychological support afterwards.
There’s a bearish divergence that formed on the hourly time frame as the price made lower highs while the oscillator drew higher highs. Stochastic is already moving down from the overbought region, suggesting that pound bears have already found momentum to push the pair down.
The pair could once more find support at the 1.5100 area, which has been holding for the past couple of weeks. Stronger profit-taking moves could push the pair even lower to the 1.5000 mark.
By Kate Curtis from Trader’s Way