- The pair is still trading sideways near-term between Tuesday's high just under 1.4250 and last Thursday's low at 1.4092, although the bias tends to be lower.
- This reflects a balance between the UK's successful Covid-19 vaccination program and fears that the full reopening of the UK could be delayed beyond the planned June 21 date.
During the first half of Wednesday's European trading hours, GBP/USD reached the 1.4125 level. Meanwhile, the most close by technical support level was located at 1.4119.
From a near-term technical perspective, the spot remains on track to test the immediate support at the horizontal trendline at 1.4115 after it confirmed a rising wedge breakdown on the four-hour chart.
In the near term future, the pair could find support in the weekly S1 simple pivot point at 1.4119. In the case of the pivot point failing to hold, the rate could reach for the 1.4100 level and the support zone just below it.
Some support awaits at the daily low of 1.4125, and critical support is at 1.4195 – a double bottom, as the chart shows. Further down, 1.4050 and 1.4010 await the pair. Some resistance is at 1.4165. It is followed by 1.4220 and 1.4250 – the latter is the 2021 peak.
