With the second national lockdown hitting the already fragile British economy, GBP/USD consolidates around 1.2900. The pair recovered from the 61.8% retracement (acts as immediate support) of September 23 to October 21 bullish move.
However, couped with a short-term descending bearish channel, becomes the key upside barrier to watch.
Considering the sluggish conditions of recent pullback moves , likely revisiting Monday's low around 1.2855/50 supported by an ascending trendline.
Though, any further downside will have to breach below the 1.2800 round-figure before targeting September's swing low of 1.270 psychological support mark. During the fall, September 11 bottom surrounding 1.2760/65 can act as a buffer as it is a key level on the weekly chart.
Meanwhile, the GBP/USD bulls will have to cross the previous swing high, 1.2965 for an immediate upside hurdle. If at all the pair manages to cross 1.2965, it's rally towards the October month's peak near 1.3160.
