GBPUSD Trades Flat for Three Sessions

The British pound sterling is holding steady near a two-month low.

Prices have barely moved after the GBPUSD fell to the support area near 1.2721 – 1.2673. This level was marked by the previous resistance area in June and July. The consolidation here could see the GBPUSD reversing losses as a result.

The near term bounce could open the way for prices to test the 1.3000 handle.

However, a lot of this will depend on whether the cable can form support above the 1.2750 handle.

For the moment, the hidden bearish divergence on the 4-hour Stochastics suggests that prices could continue to hover near the current levels, if not move lower.

Test your strategy on how the GBP will fare! Open your Orbex Account and start trading now.