The Sterling has remained relatively unchanged against the US Dollar since the beginning of this week. It seems that the pair tried to edge higher during this time, but it was stopped by the 55– and 100-hour SMAs.
At the time of this analysis, the Pound was fluctuating around the 1.27 level slightly below these moving averages. Technical indicators remain bullish; thus, a breakout could finally happen today. The following upward target after this breakout is the breached senior channel and the 200-hour and 200-period (4H) SMAs circa 1.2850.
It is unlikely that the pair extends its losses below the weekly S1 at 1.2650 in this session. Thus, even if the aforementioned breakout to the upside does not occur, the pair is expected to continue consolidating with a slight tendency southwards.
