The British pound is now under heavy selling pressure against the US dollar, following a flash crash in the foreign exchange market which saw the pair hitting 1.2424. The GBPUSD pair has made a recovery above the 1.2500 level, although short-term sellers still retain control of price action. A continuation to the downside is expected if sellers can hold price below the pivotal 1.2528 level.
If the GBPUSD pair trades below the 1.2528 level, sellers are likely to test the 1.2470 and 1.2424 support levels.
If buyers can hold price above the 1.2528 level, a correction towards the 1.2600 and 1.2620 levels may occur.
