Yesterday, the GBP/USD exchange rate raised to the 1.2880 level. During Thursday morning, the rate was testing the resistance level formed by the Fibo 38.20% and the monthly PP at 1.2920.
If the given resistance level holds, it is likely that a reversal south could occur in the nearest future. In this case it is unlikely that the currency pair could decline below the 55– and 100-hour SMAs near 1.2820.
Otherwise, it is likely that the British Pound could appreciate against the US Dollar in the short term. In this case the exchange rate could target the weekly R1 located at 1.2985.
