On Monday morning, the GBP/USD passed the support of the channel up patter, which captures the rate's surge that has been ongoing since December 21.
By the middle of the day's European trading hours, the rate had found support in the 100 and 200-hour SMAs and revealed a small size channel down pattern.
Economic Calendar
On Thursday, at 13:30 GMT, the US Jobless Claims could cause a minor move on all USD pairs and assets that are traded in US Dollars.
GBP/USD short-term review
In the near term future, the rate was expected to be pushed up by the 100 and 200-hour simple moving averages. A surge should reach for the combined resistance of the 55-hour SMA and the upper trend line of the recently added channel down pattern.If the described resistance levels hold, the rate should test the support of the 100 and 200-hour SMAs. In the case of the SMAs failing to provide support, the rate would aim at the 1.3460 level. Near this level support was provided by a 61.80% Fibonacci retracement level and the weekly simple pivot point.
On the other hand, if the 55-hour SMA and the trend line are broken, the pair would have no technical resistance as high as the December high level at 1.3625.
Hourly Chart
On the daily candle chart, the rate is finding support in the August high level of 1.3485.
In the meantime, the currency exchange rate remains in a large scale channel up pattern. The rate could test the resistance of the pattern near 1.3680.
Daily chart
Read More: Technical Analysis
Traders remain short
On Monday, 71% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 100-pip range around the rate the pending orders were 71% to buy the GBP/USD pair.
On Monday, 71% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 100-pip range around the rate the pending orders were 71% to buy the GBP/USD pair.