The British Pound continued its decline to $1.2410 USD as the UK's Office for National Statistics (ONS) reported weak labor market data.
From a technical perspective, the GBP/USD pair remains supported in its downward trend, with expectations of further decline towards the round support level at $1.2400 USD.
However, there are positive signs when looking at the 4-hour chart, as prices are gradually adjusting and shifting towards a short-term upward trend. Anticipated that there will be a phase of increase towards the Simple Moving Average SMA 20, before a subsequent downward adjustment.
The identified resistance zone aligning with the moving averages is a good sign of bearish momentum. I suspect the price might be below the Ichimoku Cloud, which is also a sign of bearish momentum. Nice analysis; let's see what happens.
Stephen_Anders
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@ICmarkets, Thank you for liking my analysis. Let's wait and see what will happen.