GBP/USD closed higher due to short cover on Thursday as it consolidates some of this week's decline but remains below the 20-day moving average crossing. The high-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI remain bearish signalling that sideways to lower prices are possible near-term. If it extends this week's decline, the reaction low crossing is the next upside target. Closes above the 10-day moving average crossing would temper the near-term bearish outlook. If it renew the rally off July's low, the reaction high crossing is the next upside target.