The GBP/USD opened with a deep gap of 140 pips in today’s trading session over the weekend and continued to fall to as low as 1.4056. It later met support around the weekly support 2 region and formed a bullish engulf price action indicating a retracement is in play as the market seems to be over-sold.

Nevertheless, Intra-day bias remains on the downside for a retest of 1.4089 weekly support 2 as long as 21 and 55 EMA remains crossed to the downside with SSRC oscillator still indicating continuation of bearish momentum in the pair. A break of 1.4056 will confirm bearish resumption and more fall to 1.4034 (intra-day support 1) could be seen.

GBPUSDH1

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