GBPUSD retests the neckline – Analysis - 05-10-2018

The GBPUSD pair continued to rise yesterday to surpass 1.2963 level and approaches retesting the previously broken neckline of the double top pattern at 1.3055, accompanied by stochastic loss to the positive momentum clearly and reaching the overbought areas, while the EMA50 meets the neckline to add more strength to this resistance.

Therefore, these factors encourage us to expect bearish rebound to resume the bearish trend in the upcoming sessions, waiting to break 1.2963 to confirm opening the way to head towards 1.2800, noting that it is important to hold below 1.3055 to continue the expected decline.

Expected trading range for today is between 1.2920 support and 1.3080 resistance.

Expected trend for today: Bearish