GBP/USD technical analysis: Choppy inside descending triangle
|- The GBP/USD pair pulls back from short-term triangle support.
- While a downside break can fetch the pair back to a multi-month low, formation resistance stands tall to question the recent advances.
A week-old descending triangle formation triggers the GBP/USD pair’s bounce off the support as it takes the bids to 1.2440 ahead of the UK open on Wednesday.
While 1.2450 can entertain intra-day buyers, triangle resistance, at 1.2560, becomes a tough nut to crack for the bulls targeting 1.2500 round-figure.
Given the pair’s ability to rise past-1.2500, 1.2515 and 1.2560 could come back on the chart.
Alternatively, a downside break of 1.2428/24 support area can quickly fetch the quote to 1.2382 whereas 1.2365 and 1.2330 may please sellers afterward.
GBP/USD 30-minute chart
Trend: Pullback expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.