GBP/USD stood at a standstill on Wednesday, as no significant price changes occurred throughout the day. Instead, the pair was fluctuating in a range between 1.3460 and 1.3520. The former is a major support level which has worked effectively at halting a fall below it during the last five months.
This lack of direction shifted late in the session when the Pound dashed through the strong resistance of the 55-, 100– and 200-hour SMAs near 1.3530. It is likely that this cluster provides a good stepping stone for further appreciation.
Technical indicators demonstrate that there is still some upside potential, so the rate is expected to move past the two-week descending channel and towards the senior pattern circa 1.3650.
In terms of the daily low, the Sterling is unlikely to breach the 1.3450 mark.
