Bearish rejection was expressed off important key resistance at 1.5400 located on the chart corresponding to 61.8% Fibonacci Level extending up to 1.5440.
This significant resistance managed to put some bearish pressure leading towards quick retracement which already bypassed 1.5290 50% Fibonacci. This also invalidates Thursday's bullish engulfing daily candlestick, the low of which around 1.5285 is already broken-down now.
The next significant demand level on the daily chart is located around 1.5035-1.5015. It would be reached if the cable managed to breakdown the current demand zone around 1.5130-1.5150.
The cable established ascending bottom around 1.5150 and ascending top 1.5265 supporting the ongoing bullish bias for the pair.
As long as these structures remain unbroken within the depicted consolidation range, the bulls would remain in control of the market.
Confirmation of the double-top pattern and weakness of price zone 1.5265-1.5300 allowed the pair to reach 1.5150 so quickly where we expect bullish pressure to be applied maybe to establish an ascending buttom around the curent levels provided that no breakdown of 1.5050 takes place.
Fundamentally, the market is waiting for important data today such as FOMC meeting and GDP report, and Friday's NFP report for July.
The cable also has important economic events such as the BOE latest policy decision for August. Forward guidance mentioning may lead to bearish pressure on the pair.
