The GBP/USD is building a triangle chart pattern close to the top of the downtrend channel. A bearish breakout seems likely. Keep in mind though that the GBP is awaiting red tagged news event later today such as an interest rate announcement, which could send price in both directions and create strong volatility.
The GBP/USD remains in a bearish channel and the wave patterns indicate that a bearish breakout would be part of a larger ABC (blue) zigzag pattern. If the GU does break support but with strong momentum, then there is a chance that price might be in a wave B (blue) but in a new downtrend.
The GBP/USD has moved sideways yesterday and stayed between the support (blue) and resistance (red) trend line, which are indicating the contracting triangle chart pattern. A bearish break would indicate a potential wave 3 (orange) of wave C (green) of wave B (blue) unless price breaks below the 100% Fib of wave B vs A. A bullish break however could indicate the immediate completion of wave B (blue) and start of wave C (blue).
