When you get big moves like this the market needs time to settle down
In the case of a fall in price, those that missed the boat with either unfilled offers or being able to cover longs will be hitting any bounce. We’re being told that liquidity isn’t the best right now so we’re still going to see the price move around quite swiftly. We need to see how the price action develops and let the PA do the work.
1.2120 is support, 1.2180 is resistance. That’s the immediate box. Break one or the other and then that’s likely to become the next support or resistance, and we try and paint the next part of the picture. Look for levels to be tested and held for more than a couple of tries to define the short-term range.
The 15m chart shows all the small steps GBPUSD has to overcome. We may break some easlily and we may find others tougher. The tough ones are the ones we can look to trade against and they can offer very tight risk. If they break, you’re wrong so no need to hang about.
Big hats of to Kman who really spanked this cable move for every pip it gave ducking and diving in and out. Awesome trading.