GBP/USD Supported By Moving Averages

Yesterday, the GBP/USD exchange rate increased to the 1.2880 level. During Friday morning, the rate was trading at the given level.

Note that the currency pair is supported by the 55-, 100– and 200-hour moving averages, currently located circa 1.2850. Thus, some upside potential could prevail in the market. In this case the pair has to surpass the resistance level formed by the weekly R1 at 1.2895.

However, if the given resistance level holds, it is likely that the British Pound could consolidate against the US Dollar in the short term. Also, it is unlikely that bears could prevail, and the rate could drop lower than the weekly PP at 1.2832.