GBPUSD testing resistance, potential drop!

GBPUSD is testing our first resistance at 1.4905 (horizontal overlap resistance, 50% Fibonacci retracement, 100% Fibonacci extension). A strong reaction might occur below this level, pushing price down to our major support at 1.3993 (horizontal overlap support, 50% Fibonacci retracement).

Stochastic (55,5,3) is also approaching our major resistance and a reaction off this level might be a good precursor for a potential drop in price.

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