04-Hour Chart
30-Minute Chart
(CLICK ON THE CHART TO ENLARGE IT)Price zone at 2.0670 is the main resistance now. And I say resistance due to the fact that I still believe GBP is in a bearish trend. I´ll list below the main reasons why the 2.0670 price zone is the main resistance level:
# 2.0654 is the high on July 24th
# 2.0682 is the high on Nov 20th and 22th
# 2.0670 is the 38,20% fibo from up move 1.9880 to 2.1161 (red fibonacci dotted lines) that has a perfect conjunction with 23,60% fibo of down move 2.1161 to 2.0518 (yellow dotted fibo lines) and 61,80% of down move 2.0762 to 2.0513 (white dotted lines). See these dotted lines on the 30-minute chart attached to this post.
So my entry points are:
SHORT failure to break price zone 2.0670 (caution: do NOT wait until prices reach 2.0670. Remember that 2.0654 is a resistance point as well...). STOP at 2.0705/10 (a little bit above 2.0700) and LIMIT 2.0480.
SHORT failure 2.0636 (50,00% fibo down move 2.0762 to 2.0513) and the 62EMA on the 04-Hour chart. STOP 2.0650 and same LIMIT 2.0480 (62EMA on Daily chart)
