The British Pound started a bearish reaction from the 1.2420 resistance zone against the US Dollar. The GBP/USD pair declined below the 1.2365 level to move into a short-term bearish zone.
There was a close below the 1.2350 level and the 50 hourly simple moving average. It is now consolidating near the 1.2315 level, with an immediate resistance at 1.2320 and a connecting bearish trend line on the hourly chart.
The first major resistance is near the 1.2350 level. If there is a clear upside break above the 1.2350 resistance, the pair could rise steadily towards the 1.2400 level in the near term. The next major resistance sits near 1.2420 on FXOpen.
On the downside, the first major support is near the 1.2300 level. The main support is forming near the 1.2285 level. A break below the 1.2285 support could push the pair towards the 1.2240 support.
