On the daily chart GBPUSD has held within a downward channel since hitting the year’s high on June 1st at 1.42456. Generally, the pound has been weak in the last half of the year, but is it time for a reversal for the pair?
Turning to H4 we note the confluence between the bottom of the channel and the newly established support zone at 1.31744 which the bears have been unable to break.
Another noteworthy level is the resistance zone around 1.33654 which marked the highest high for the month of December. Approaching this zone before year’s end, will the level hold for the bears to push lower or is it time we break higher marking a potential reversal?