FxWirePro: GBP/USD breaks 1.3400 level as UK and EU Brexit negotiations fail, good to sell on rallies

• Major Resistance- 1.3550.
   
• Cable has shown a major selling and broken major support 1.3400 after UK PM and EU failed to reach an agreement yesterday. The pair has formed a temporary top around 1.35498. The pair is showing minor weakness on Brexit negotiation uncertainty. Pound sterling reversed its gains after no deal was made between UK and EU on Brexit negotiations. Cable declined till 1.33704 and is currently trading around 1.33882.
   
• UK PM Theresa May and Juncker were forced to stop meeting after Irish DUP said it would not accept a deal that treat Northern Ireland differently from the rest of UK.
   
• 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 1.3375 (233- HMA) 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.