GBPUSD POSSIBLE INVERTED HEAD AND SHOULDERS

The British pound has performed a much needed technical correction higher against the US dollar, as the pair moves away from oversold trading conditions in the short-term. The GBPUSD pair remains vulnerable to further losses, although a potential bullish head and shoulders pattern may be forming if the current monthly trading low holds.

• The GBPUSD pair retains an intraday bullish bias while trading above the 1.3000 level, key resistance is found at the 1.3046 and 1.3117 levels.

• If the GBPUSD pair trades below the 1.3000 level, key technical support is found at the 1.2939 and 1.2919 levels.