FX.co ★ GBP/USD Intraday Technical Analysis

The spot rate is currently testing the upper limit of its medium term bullish channel at 1.6070 and seems to initiate a decline. However a break of these levels will free up significant potential and initiate a bullish trend more violent.
Technical indicators provide buy-signals but are approaching the overbuy zone suggesting a decline. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement.
According to previous events, the market will indicate a bullish opportunity as soon as the spot rate has broken its resistance of 1.6070 with the 1st objective of 1.6130, then 1.6150. A break through 1.6050 will invalidate this plan.