GBPUSD Daily Analysis – August 18, 2017

GBPUSD remains in the downtrend from 1.3267, the bounce from 1.2841 is likely consolidation of the downtrend. Near term resistance is at top trend line of the price channel on its 4-hour chart. As long as the price is in the channel, the downside movement could be expected to continue and next target would be at 1.2750 area. However, the pair is now facing a bullish support trend line on the daily chart. Rebound off the trend line support could take price to the top of the channel. A clear break above the channel resistance could signal completion of the downtrend, then next target would be at 1.3030 resistance.

GBPUSD 4-hour chart