GBPUSD (1.2995): The GBPUSD currency pair continues to trade below the support level at 1.3025. However, price action has remained limited so far. On the 4-hour chart, we can anticipate another test back to 1.3025. It is essential that GBPUSD will post a reversal here establishing resistance. This will pave the way for a decline towards 1.2818 – 1.2800. To the upside, a breakout above 1.3025 could signal further gains that could push GBPUSD towards 1.3177. We expect the declines to come through sometime next week when the UK’s inflation and wage data will be published.
