Early in the American session, the British pound (GBP/USD) is trading around 1.2171, consolidating below +1/8 Murray located at 1.2171 with a bearish bias.
The British pound has sharply broken the uptrend channel which has been formed since early November. In case GBP/USD continues to consolidate below the 21 SMA located at 1.2262, there is a probability that any bounce towards this area could be seen as an opportunity to sell with targets at the 200 EMA located at 1.1993.
Our trading plan for the next few hours is to sell the British pound below 1/8 Murray located at 1.2207, with targets at the psychological level of 1.20.