GBPUSD watch for a breakout
The British pound is gaining ground against the greenback Monday after the US dollar index suffered heavy losses on Friday. A sustained move above the 1.2770 resistance level could spark a breakout in the GBPUSD pair towards at least the 1.2840 level. If sellers fail around this key area a decline and technical test back towards the 1.2710 level should be expected.
The GBPUSD pair is only bullish while trading above the 1.2730 level, key resistance is found at the 1.2770 and 1.2840 levels.
If the GBPUSD pair trades below the 1.2730 level, key support is found at the 1.2710 and 1.2660 levels.