GBP/USD
Negative sentiments have taken over the financial markets again, mostly due to concerns over the European debt crisis that remains to be complete, and it now appears that investors are preparing themselves for a second round of negative movements worldwide. The negative sentiment may affect also the British pound – United States dollar pair, which is beginning to show the signs of breaking on the route to a technical correction, and perhaps even a reversal of the positive trend.
We will only receive a final confirmation of the reversal and the beginning of a meaningful downwards movement after a decisive breach of the trend line accompanying the pair since early June. A daily close under the trend line will serve as an entry trigger for a sell deal with two major exit goals. The first is located near the 1.5500 support level, whereas the second and last goal is poised related to the lower support level around 1.5275 United States dollars for one British pound.
