FX.co ★ GBP/USD: Reversal or Continuation pattern?

GBP/USD has declined in the short term after another failure to close above the 1.3200 psychological level and now it is trading in a range or sideways movement. The pair is trading inside the upward channel, so the prospects are bullish. Therefore, GBP/USD could jump higher.

Though, a drop below the 1.2971 could attract more sellers and activate a significant drop towards the uptrend line, channel's support.

• GBP/USD Trading Tips

Sell below the 1.2970 level, the near-term downside targets are seen at the 1.29 and at 1.28 levels.

Buy GBP/USD if the price reaches the 1.3200 psychological level. The major upside target remains at the upside line of the up channel.