GBP/USD- Critical Area Reached

By: Doug Rosen
Looking at this pair it looks like it's not going to stop so easy. It is looking to me like it wants to break 1.5750 and if it breaks I think we are falling all the way to 1.5350.



We are sitting at the level where price should either bounce or break. Considering how strong the current momentum is based on the angle and separation of the 5 and 13 ema's as well as the speed of the market measured by the angle and separation of the 21 and 55 ema's based on both the 4 Hour and 1 Hour charts, this support can easily be broken. The monthly S3 is down yet another 280 Pips down so we can still keep falling awhile.



On the 1 Hour chart we were just bouncing off the Weekly S1 but it looks like the 5 ema can force it through the S1 level. So at this time, until proven otherwise, I will just keep shorting off the hourly 5 and 13 ema's or the 15 minute 21 ema's until price begins to roll over to the upside.



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