FxWirePro: GBP/USD Trade Idea

• Major Support- 1.3370
   
• Cable is continuing its weakness for the second consecutive day after UK PM Theresa May is expected to travel to Brussels today to break deadlock for Brexit negotiations. The pair has formed a temporary top around 1.35498 and started to show weakness after no deal was made between UK and EU on Brexit negotiations. Cable declined till 1.33580 a tthe time of writing and is currently trading around 1.33789.
   
• European Union has set deadline this week for presenting new proposals for the term of divorce. EU leaders are expected to agree on guide lines next week if enough progress is achieved on Brexit talks.
   
• The pair was facing strong resistance at 1.3550 and any convincing break above will take the pair to next level till 1.3600/1.3700 level. Short term bullish invalidation only below 1.3220.  The minor resistance is around 1.35000.
   
• On the lower side, near term support is around 1.3370 and any break below will drag the pair to next level till 1.3300/1.3230/1.3175. The major weakness can be seen below 1.3230.
  
  It is good to sell on rallies around 1.3385-90 with SL around 1.3450 for the TP of 1.3300/1.3230.

Resistance
 

R1-1.3460
 

R2 -1.3500
 

R3- 1.3550

Support               
 

S1- 1.3370
 

S2- 1.3300
 

S3-1.3225