GBP/USD: Pause within the overall downtrend - SocGen

Sandeep Kanihama FXStreet Contributor

Research Team at Societe Generale, explains that the GBP/USD pair recently rebounded from the lower bound of the triangle pattern and suggests that it is still likely just a pause within the overall downtrend

Key Quotes

“The downtrend in GBP/USD was accelerating until October 2016, when it came across an intermittent projection at 1.1752/1.1660. Since then, it has remained confined within two converging lines (triangle), which is similar to the temporary consolidation phases seen during February-May and July-September 2016. The pair recently rebounded from the lower bound of the pattern. However, it is still likely just a pause within the overall downtrend. The triangle limit and weekly channel (orange dash) at 1.2680/1.2780 remains an important hurdle.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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