GBP/USD: Short-Term Sell
GBP/USD, Daily Chart Analysis
The Pound might be facing a volatile period following the strong advance of the past three weeks, as the Brexit process enters its next phase tomorrow. The technical setup also shows a possible short-term trend change as the pair hit resistance near the 1.26 level, which corresponds with the declining upper boundary of the bearish wedge pattern on the daily chart.
Traders with long positions could take some profits here even if they think that a bullish break-out from the long-term formation is likely. Short-term traders have a low-risk opportunity to enter short positions, by placing stop loss orders above the 1.26 resistance level.
S&P 500: Short-Term Sell
S&P 500, 4-Hour Chart Analysis
US markets, especially the, S&P 500 have been relatively weak in recent weeks and they continue to struggle despite yesterday’s bounce. The short-term technical picture is bearish with clearly defined resistance zones above the current levels, providing good stop-loss opportunities to traders. The stochastic oscillator gave a sell signal today on the 4-hour chart, and the declining trend channel suggests new lows in the coming days.
The 2360 level and the declining trend-line currently found at 2355 provide resistance, while possible targets for a new short-term low are the 2319 and 2308 support levels.