Testing the Diagonal Line Trends, Potential Double Top Pattern Forming When Conditions Fulfilled

Yesterday: Open 1.6228 High 1.6307 Low 1.6168 Close 1.6245

Towards the end of the Asian session yesterday, the movement had passed Sterling resistance level at 1.6256 first then going sideways movement in the area.

Entering the European session, Sterling plummeted to penetrate the diagonal trend lines and moments later a rebound until the back past the first resistance level and try to test the second resistance level at 1.6312 but failed to place a correction to the daily closing level of 1.6245.

Currently, Sterling has seen a bearish movement.

There is no focus on economic data today for Sterling.

Double Top pattern can be formed if the movement exceeds Sterling diagonal trend line and past the first support level at 1.6153.

When prices rise continuously then opened up opportunities to the level of 1.6256 and 1.6312.

We recommend that if the decline continues and the trend line diagonally across the open opportunities to the level of 1.6153 and 1.6106.

Prices shown on the graph H1 line MA05 and MA10 in bearish conditions.

While the Stochastic Indicator is indicating a bearish opportunities limited.