Yesterday, the GBP/USD exchange rate revealed a short-term descending channel. During Wednesday morning, the rate was trading at 1.2550.
From a theoretical point of view, it is likely that some downside potential could prevail in the market. Note that the nearest support, formed by the Fibo 50.00% and the weekly S1, is located at 1.2410.
Meanwhile, if the currency pair fails to decline below the psychological level at 1.2500, it is likely that the British Pound could consolidate against the US Dollar in the short run.
