11.09.2014 London Session Watch GBPUSD

GBP/USD has been in a strong down trend since last month but seemed to find some ground in the last few days. There's an inside bar candlestick pattern formed on this pair, so the price could potentially move slightly higher to the resistance level and fill the gap before continuing to move lower. The stochastic and Commodity Channel Index (CCI) are showing the Pound is overbought as well which could lead the price lower. The long term trend is still bearish as the short term moving averages (10 and 20 period) are still staying below the long term moving averages (50,100 and 200 period) and the Tenken-sen is still below Kijun-sen too which shows the bears are still in this market, so we could potentially have selling opportunities in todays London session near the 1.6275 and 1.6340 resistance level.