At the end of last week, the GBP/USD exchange rate traded sideways at 1.2820 level. During Monday morning, the rate maintained its consolidation.
It is unlikely that the currency pair could trade upwards due to the resistance cluster formed by the 55-, 100– and 200-hour SMAs, as well the weekly PP, the monthly R2 and the Fibo 38.205 in the 1.2489/1.2918 area.
The British Pound could depreciate against the US Dollar within the following trading session. A possible downside target is the 1.2760 level. Also, note that some volatility could occur in the market due to the UK Parliament Brexit Vote.
