GBP/USD is up as demand for the US dollar eases, as Wall Street struggles to remain afloat. The Russian invasion of Ukraine and Brexit-related headlines are leading the way.
From a technical perspective, the pair, so far, has been oscillating well within the post-BoE trading range between the 1.3100 mark and the 1.3200 round figure. This, in turn, warrants some caution for aggressive traders and makes it prudent to wait for a convincing break through the mentioned band before positioning for a firm near-term direction.
With technical indicators on the daily chart holding in the bearish territory, sustained weakness below the 1.3100 handle would make the pair vulnerable to challenge the YTD low, around the 1.3000 psychological mark. Some follow-through selling has the potential to drag the pair further towards the 1.2950 intermediate support en-route the 1.2900 mark.
On the flip side, acceptance above the 1.3200 level will be seen as a fresh trigger for bullish trades and set the stage for a move towards the 1.3300 mark with some intermediate resistance near the 1.3245 region. The momentum could further get extended and allow the pair to reclaim the 1.3300 mark for the first time since early March.