The British pound sterling continues to trade weaker with price briefly testing the lows, just a few pips above the 1.3000 level.

Price action has now comfortably settled within 1.3122 and 1.3000. This means that a breakout from this range will set the course of direction for the trend.

To the downside, the longer-term trend line could act as a dynamic support. But this comes around the 1.2900 level.

- advertisement -

To the upside, it is clear that a top has formed after GBPUSD failed to breakout higher.

The Stochastics oscillator is positioned to the upside which could signal a near term move back to the 1.3122 level of resistance.

With the weekly candlestick showing signs of a possible correction, the support level near 1.3000 gains even more importance.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.