Technical outlook:
GBPUSD climbed through 1.3483 highs before reversing sharply on September 01, 2020. An Evening Star candlestick pattern was ready in the next few trading sessions indicating a trend reversal and major top in place at 1.3483. Please note the GBPUSD bulls remained shy by just a few pips from major resistance at 1.3515 levels. We would still consider the overall wave structure to be constructive for bulls but after a meaningful corrective drop is complete. GBPUSD has produced a sharp reversal from 1.3483 highs, dropping over 700 pips through 1.2763 lows on Friday. The Cable currency pair is seen to be trading around 1.2880 levels and is expected to produce a retracement towards 1.3200/1.3300 before resuming lower again. The recent boundary being worked upon is between 1.3483 and 1.2763 levels and potential resistance zone is around 1.3200/300 respectively.
Trading plan:
Sell @ 1.3200/1.3300, stop @ 1.3500 and target is towards 1.2250.
Good luck!
