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GBP/USD pulls back to key support level
The GBP/USD bounce seen earlier this week, from the 1 June low at $1.517, closed above the crucial $1.533 level which represents the July low and double-top neckline. Early signs point towards possible support being respected around this level, and there is a possibility that the price could use this as a base to push higher once more.
Coming off the back of a bearish trend which has seen new lows and lower highs, I would want to see a move above $1.5416 for a new high or a new higher low above $1.517 to gain confidence that we are moving into a more bullish phase. However, for now I am watching for a possible bounce from $1.533, where a close below that level on intraday charts could point to another strong move lower today.