The financial world is focused on Brexit now. That is precisely the reason why we will not talk about this today. Actually, the GBP/USD price is largely ignoring the news from London. Ignoring as yesterday’s movement for 100 pips is for this pair nothing. In history, we saw stronger movements without any reason whatsoever, so I think that currently, GBP/USD is pretty resilient to the news from Downing Street.
So if not the pound than what? EUR/USD. The pair reached crucial horizontal support and made a small bounce, which has a chance to create a hammer on the daily chart. If that hammer will be created, that will be a good occasion for a short-term buy. If not, the breakout and the continuation of the downtrend will be still on the table.
Next instrument is the AUD/USD, where the price already started to make lower highs, which can be the start of a new downtrend. To witness a sell signal, we need to wait for the breakout of the 0.707 support, which got recently defended. The price closing a H4 candle below that area will be an invitation to go short.
The last one is DAX, which seems to definitely defend the long-term horizontal support. That would mean that at the end of the last week we witnessed a false bearish breakout, which would be very good news for the buyers as that usually promotes the movement in the opposite direction.