The low volatility apparent on Tuesday morning shifted tremendously when the GBP/USD currency pair surged and tested the weekly PP at 1.2926. Subsequently, it fell down to the bottom channel boundary circa 1.2840. The sudden plunge that started at 0600GMT today pushed the rate in the strongly oversold territory and even past the weekly S1 at 1.2828. This level is unlikely to hold; thus, the Sterling should be forced to make a U-turn. Upside risks may guide the pair towards a resistance area formed by the 55-hour SMA and the weekly PP near 1.2880 or even higher if bulls remain active thorough this session. By and large, significant fundamentals scheduled for today are very likely to disrupt technical predictions and push the pair either direction.
