GBP/USD continues to move sideways, in a range, between 1.4 and 1.3809 levels. The price failed to stabilize above the downtrend line signaling a potential further drop within this pattern.
The pair increased a little today and is almost to reach and retest the downtrend line again. Still, only a drop below 1.38 psychological level could really signal a deeper drop in the short term, H4 chart.
Trading Conclusion!
Sell GBP/USD if the price drops under the former low and if it stays below the downtrend line. The channel's downside line is seen as an important downside line.
Buy GBP/USD if the rate jumps above 1.4 psychological level with targets at 1.4150 and 1.42 levels.
