At the end of the previous week, the GBP/USD exchange rate extended gains and reached the 200-hour moving average at the 1.2739 mark. However, as apparent on the chart, the rate did not surpass the given resistance.
Note, that the currency pair also reversed south from the upper boundary of the short-term descending channel, thus, it is likely, that some downside potential could prevail in the market. However, note, that the pair has to surpass the 55– and 100-hour SMAs located circa 1.2680.
If the given support holds, it is expected, that the rate could reverse north and re-test the upper channel line. It is unlikely, that the rate could surpass the given 200-hour SMA.
