GBP/USD increased in the last hours and now it has reached 1.3798 previous low. I've told you in my previous analyses that the pair could drop further after failing to reach and retest the downtrend line.
The pair has ignored the 1.3798 former low which represented a support level. Stabilizing under this level and staying below the downtrend line could signal a deeper drop.
Trading Conclusion!
GBP/USD could drop deeper as long as it stays under the downtrend line and below the 1.3798 level. Actually, we'll have a new selling opportunity if the pair drops below 1.3752 today's low with a potential downside target at 1.3700.
The downside scenario could be invalidated by a potential breakout above the downtrend line.
