GBPUSD Potential head and shoulders
The British pound is starting to consolidate around the 1.3200 level against the US dollar currency, following a heavy technical rejection from the 1.3240 area. The technical analysis highlights that a bearish head and shoulders pattern appears to have formed across the lower time frames. A break below the 1.3100 support level is currently required to activate the bearish price pattern.
If the GBPUSD pair trades above the 1.3200 level, key resistance is found at the 1.3240 and 1.3310 levels.
The GBPUSD pair is only bearish while trading below the 1.3200 level, key support is found at the 1.3100 and 1.3000 levels.