GBP/USD : After the market opened, the US dollar's attempt at breaking the support at 1.3105 was successful.
The Pound continues to lose ground against the U.S. dollar. In the opposite direction, the main resistance is the level at 1.3105. Even if it is successfully overcome, however, the return of the bulls is still unlikely. So far, sentiment for the U.S. dollar remains positive.
Trading is conducted below 1000 and 50 moving averages, which indicates the return of sellers to the market since two weeks.
This is shown to us as the current price is in a bearish channel. According to the previous events, we expect that the GBP/USD pair will move between 1.3105 and 1.2950.
From this point, the GBP/USD pair is continuing in a bearish trend from the new resistance of 1.3105. Thereupon, the price spot of 1.3105/1.3164 remains a significant resistance zone.
Therefore, the possibility that the GBP/USD pair will have a downside momentum is rather convincing and the structure of the fall does not look corrective.
The breakdown of 1.3009 will allow the pair to go further up to the levels of 1.2950 and 1.2890. However, the stop loss should be located above the level of 1.3164.