GBPUSD holds key support
The British pound is attempting to move higher against the US dollar in early Wednesday trade after finding strong dip-buying demand from the 1.3100 support level. The GBPUSD pair may move back towards the top-end of its recent trading range if bulls continue to defend the 1.3100 level. Traders should note that the bullish inverted head and shoulders pattern still remains valid on the four-hour time frame.
The GBPUSD pair is bearish while trading below the 1.3155 level, key technical support is found at the 1.3100 and 1.3050 levels
If the GBPUSD pair trades above the 1.3155 level, buyers may test towards the 1.3200 and 1.3260 resistance levels.