Since Wednesday, the GBP/USD exchange rate has been testing the resistance level formed by the weekly R1 at 1.3402.
It is likely that the currency pair could gain support from the 55– and 100-hour SMAs, as well the weekly R1 in the 1.3350 area. Thus, some upside potential could prevail in the market.
In the meantime, if the predetermined resistance level holds, a reversal south could occur in the short term. In this case the pair could decline to the 200-hour SMA near 1.3290.
