Yesterday, the GBP/USD exchange rate consolidated in the 1.2450 area. During Wednesday morning, the rate dropped to the weekly S1 at 1.2360.
Note that the currency pair is trading near the lower boundary of an ascending triangle pattern. Thus, from a theoretical perspective, it is likely that a reversal north could occur in the short run, and the pair could re-test the monthly PP at 1.2470.
Meanwhile, note that the exchange rate is pressured by the 55– and 200-hour SMAs near 1.2450. Thus, some downside potential could prevail. Note that the rate could gain support from the monthly S1 at 1.2292.
