The graceful upward trajectory staged by the GBP/USD on the daily chart, finds
an offsetting bearish harami, a pattern comparable to an Western inside bar.
Prices challenged the 21-period 2-standard deviation upper band by
printing outside of its boundaries in the last two days. The bearish pattern
also happens in the context of a 14,3,3-sensitive stochastic tracking above the
80 mark. Although this oscillator assumes that prices tend to close near their
high in an upwardly trending market, it should now react with any eventual daily
close near the lows.
Traders might seach for this price confirmation as
well as an invalidation of the pattern in the form of a new daily high.
