The GBPUSD pair broke down during the session on Tuesday, breaking the bottom of the shooting star that formed on Monday.While this would typically be a nice selling opportunity, the reality is that the 1.68 level seems to be rather supportive.

With that, we are not interested in selling and in fact are going to be looking for supportive candles on the short-term charts in order to start buying again.

Ultimately, we believe that this market will have to back up and find enough momentum to break above the 1.70 handle, and as a result we are bullish after a supportive candle prints.

Editor’s Note: Equity investors/traders can use the Currency Shares British Pound Sterling Trust (FXB, quote) ETF to take positions in the yen without a FOREX account.  The ETF looks to track the price of the British (GBPUSD), minus ETF fee. The fund seeks to reflect the price of the British Pound Sterling with the shares representing a cost-effective investment relative to investing in the FOREX market.

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