The UK banks were closed on Monday. The Brent crude oil growth is increasing the UK energy sector revenues which are about 10% of GDP. On the other hand, the UK bond yields are declining relative to the US and Germany counterparts which levels the British assets investments attractiveness and restricts demand for the pound.
There was the support level of 1.5370 false breakthrough. The short level breakthrough on the lower volumes was followed by the price return above the level where a consolidation will be probably formed.
The price is finding the first support at 1.5300, the next one is 1.5200. The price is finding the first resistance at 1.5390, the next one is 1.5460.
There is a confirmed and a strong sell signal. The price is under the Cloud and it is under the Chinkou Span. The Tenkan-sen shows a downward movement and the Kijun-sen shows a horizontal movement forming a “Dead Cross”. The downward movement will be until the price is under the Cloud.
The MACD histogram is in a negative territory. The indicator is decreasing.
We suppose the pair will go to 1.5300 first. Having overcome the first target the price might go downwards to 1.5200. In case of a pull back the pair may return to the level 1.5460.