British Pound Bearish on Rallies - Resistance at 16080

60 Minute Bars

Prepared by Jamie Saettele, CMT

The GBPUSD has definitively broken below its trendline from the 2010 low and confirmed a head and shoulders top. Using the traditional head and shoulders measuring technique yields an objective near 15250 (distance between head and neckline subtracted from point of neckline break), which is near the late 2010 low of 15350. Short term resistance is 16080, 16150 and short term channel resistance. I like establishing shorts at those levels against 16262.