British Pound Faces Bearish Chart Pattern Against US Dollar
The British Pound is currently contending with a bearish Head & Shoulders chart pattern against the US Dollar. In the daily chart depicted below, GBP/USD is facing difficulty in surpassing the neckline situated at 1.2592. Furthermore, there's a struggle for sustained momentum following the breach of the 100-day Moving Average (MA).
A definitive break below 1.2592 indicates the potential for further downside, posing a risk to the British Pound. In such a scenario, the critical support level at the May low of 1.2308 comes into focus. Conversely, a reversal higher would shift attention to the left shoulder's turning point at 1.2848. If bullish momentum persists beyond that level, it might open the door to a retest of the July high at 1.3299.
GBPUSD SELL 1.2630 - 1.2650 🔼🔼
✅TP1: 1.2600
✅TP2:1.5700
🚫SL 1.2680
A definitive break below 1.2592 indicates the potential for further downside, posing a risk to the British Pound. In such a scenario, the critical support level at the May low of 1.2308 comes into focus. Conversely, a reversal higher would shift attention to the left shoulder's turning point at 1.2848. If bullish momentum persists beyond that level, it might open the door to a retest of the July high at 1.3299.
GBPUSD SELL 1.2630 - 1.2650 🔼🔼
✅TP1: 1.2600
✅TP2:1.5700
🚫SL 1.2680
