GBPUSD Targeting 1.2770
The British pound has fallen below the 1.2900 level against the US dollar currency, as traders continue to react to the news that the United Kingdom is enforcing a new COVID-19 lockdown this week. GBPUSD sellers look to be targeting the key former swing-low, at 1.2770, now that the 1.2900 support level has been broken. Lower time frame analysis shows that a bearish head and shoulders pattern is forming.
If the GBPUSD pair trades above the 1.2900 level, key resistance is found at the 1.3000 and 1.3060 levels.
The GBPUSD pair is only bearish while trading below the 1.2900 level, key support is found at the 1.2770 and 1.2500 levels.