GBP/USD analysis: Bounces off support cluster

Dukascopy Bank Team Dukascopy Bank SA

GBP/USD

On Monday, the British Pound dropped by 54 pips or 0.42% against the US Dollar. The currency pair tested a support cluster near the 1.3880 area during the Asian session on Tuesday.

The exchange rate bounced off the 55– and 200– hour SMAs support level on Tuesday morning. Most likely, buyers could pressure the GBP/USD pair higher within this session.

However, the upper line of a descending channel pattern could provide resistance for the currency exchange rate during the following trading session.

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Dukascopy Bank Team

Dukascopy Bank SA

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