The data from the United Kingdom on the Gross Domestic Product for the third quarter showed that GDP advanced by 15.5%, well below analysts' expectations. This caused the fall of the British pound touching the support of the uptrend channel at 1.3112 in 4 hours.
Furthermore, the hope of a Brexit deal continues to undermine confidence in the British pound. Brexit deal was expected to be reached in mid-November, but negotiators have been unable to resolve critical issues, thus increasing uncertainty about the post-Brexit relationship between the UK and the EU.
On the 1-hour charts, we note that the eagle indicator is in the overbought zone at the level of (5) giving an imminent rebound only if it consolidates above the 200 day EMA. Currently, it is trading around this level.
If the pair breaks the 200-day average, we can still expect the rebound at 1.3060, since the market is likely to take a breather before continuing its fall, so we must be careful.
Support levels: 1.3068, 1.3026, 1.2980
Resistance levels: 1.3190, 1.3269, 1.3312
