FXStreet (Bali) - Chris Capre, Founder at 2ndSkies Forex, notes that bullish pressure in GBP/USD appears to be weakening.
"For the last 8 days, the sterling has been consolidating between the 1.7075 and 1.7175 levels we've been mentioning in prior commentaries. You will notice in this consolidation the greater presence of wicks to the downside, communicating the bulls were buying the pair on dips intra-day."
"However, the last few days have shown an inability to reach the higher levels of the consolidation, while holding more towards the lows. This could be hinting the bulls are becoming less able to keep up the bullish pressure to support the pair."
"For now, watch this range for the next directional clues. Overall the bull trend is still intact so we will prefer to trade with the trend. A break below 1.7075 puts 1.7050 and 1.6975 up next while a break above 1.7175 will put 1.7245 under pressure."