GBPUSD MONTHLY CHART 12/22/2019
2019-12-23 01:30:47
Notice this is a monthly chart!
This is an example of price action bouncing off major support and moving higher to major resistance. Notice the last candle looks like a rejection candle. A rejection candle would indicate a reversal back downward. However, notice this rejection candle did not form at a monthly resistance level. As a result it is not a valid rejection candle but merely an indication that price has moved up to far to fast and has corrected back down to a more reasonable monthly valuation. Once correction is over price should continue to move upward to major resistance.