British Pound-Short Trade Setup

Click on the chart above to enlarge.

The chart on the left shows daily trading in the currency pair GBPUSD, or British Pound.
The pound has been setting up for a short trade since the surprise election outcome on June 9th. The shock result caused a large down day, where the price fell sharply. Thereafter the pound tried to recover, but the next few days were weak and resulted in a pullback of five days. We had an order to sell the pound at 1.2725 and were filled yesterday. Today's price bar is shown in red, as the market is still open and at the time of writing, the pound is trading around the 1.2650 level, more than halfway to the initial target at 1.2575. 
We placed a stop loss level at 1.2885 when opening the trade, but this has now been quickly tightened to protect the position.