The British Pound edged higher by 84 pips or 0.61% against the US Dollar on Thursday. The surge was stopped by the 200– hour simple moving average at 1.3761 during yesterday’s trading session.
The GBP/USD exchange rate is currently trading near the upper boundary of a descending channel pattern and could be set for a breakout.
If the breakout occurs, a surge towards the 1.3900 level could be expected within this session.
However, if the channel pattern holds, bears might target the support level formed by the 55– and 100– hour SMAs at 1.3699 today.
