The pound sterling has forcefully reversed downward from the 1.3525 level. Yesterday's candle closed below the balance line, and the Marlin oscillator has moved deeper into negative territory.
The nearest target at 1.3364 is now open, and the pound continues to weaken. Consolidating below this level would open the way to the next target at 1.3253. On the four-hour chart, price and oscillator have formed a divergence.
This does not signal a trend reversal (given the broader context), but it does suggest a possible correction of some kind. However, since Marlin has spiked upward and is likely to lose momentum soon, any correction is unlikely to be deep, so we expect a period of consolidation.
