GBP/USD 1.4122

GBP/USD Open 1.4227 High 1.4352 Low 1.4069 Close 1.4235

Yesterday Pound/Dollar also corrected downwards. The currency couple made top at 1.4352, but closed lower at 1.4235. This morning the Cable went down to as low as 1.4069. We still have ascending channel on the 1 hour chart, and a rectangular formation in the same time, which suggests consolidation phase for the Cable. Break out of the rectangle will give us a clearer movement direction. Successful break of the upper limit of the range should lead to an increase towards the region of 1.4390. Short term signals are neutral, but the upward correction scenario is still intact. The CCI indicator is located in overbought zone and downwards on the 4 hour chart, signaling for a potential decreasing pressure.

Technical resistance levels: 1.4355 1.4500 1.4625
Technical support levels: 1.4030 1.3890 1.3680

Trading range: 1.4110 - 1.4185

Trend: Upward

Buy at 1.4122 SL 1.4092 TP 1.4172