The GBP/USD chart shows a bearish momentum, indicating a downward trend in the market.
Traders should consider the possibility of a bearish continuation towards the first support level at 1.2681, which is a significant level as it aligns with both the 38.20% and 50% Fibonacci Retracement levels (Fibonacci confluence). Additionally, the second support level at 1.2536 serves as a pullback support, further reinforcing its importance.
On the upside, traders should be cautious as the first resistance level at 1.2823 represents a multi-swing high resistance, suggesting a potential barrier to upward price movements.