GBPUSD recently reversed down from the resistance area lying between the powerful resistance level 1.36220 (which stopped the previous sharp upward impulse wave 3 in the middle of December) and the upper daily Bollinger Band. The downward reversal from this resistance area stopped the previous minor impulse wave 5. Given the strongly bearish sterling sentiment seen across the currency markets today and the bearish divergence on the daily Stochastic indicator – GBPUSD is expected to fall further toward the next support level 1.33600.
