FX.co ★ GBP/USD: downside continuation activated

GBP/USD New Downtrend!

The GBP/USD pair is trading at 1.2422 at the time of writing. You knew from my previous analysis that the currency pair should drop deeper after dropping and stabilizing below 1.2585.

The first downside target of 1.2434 (former low) was reached. Personally, I've drawn a new downtrend line. This represents an upside obstacle, so as long as it stays under this line, the price could drop deeper.

GBP/USD Trading Conclusion!

Dropping below the 1.2434 downside obstacle (target) and under 1.2421 yesterday's low was seen as a new selling opportunity.