Yesterday, the GBP/USD exchange rate revealed a medium-term ascending channel. During today’s morning, the rate was testing the 55-hour SMA near 1.2720.
From a theoretical point of view, it is likely that some downside potential could prevail in the market. In this case the currency pair could gain support from the 100– and 200-hour SMAs, as well the weekly R1 and the Fibo 61.80% in the 1.2615/1.2664 area.
However, if the 55-hour moving average holds, it is likely that the currency pair could trade upwards along the upper channel line within the following trading session.
