The British pound is attempting to recover from critical support against the US dollar, following an extended pullback towards the 1.2840 level. The GBPUSD pair has to rally from current trading levels to avoid a major technical test of the 1.2770 support. Overall, a daily price close above the 1.2940 level would confirm that the GBPUSD pair still intends to test towards the 1.3100 level.
If the GBPUSD pair trades below the 1.2940 level, key support is found at the 1.2840 and 1.2770 levels.
The GBPUSD pair is bullish while trading above the 1.2940 level, key resistance is found at the 1.3000 and 1.3100 levels.
