The GBP/USD currency pair is currently testing a crucial resistance level at 1.2505, and it has maintained its position below this level so far. Additionally, the stochastic oscillator is showing signs of losing its positive momentum. These factors suggest that the price is likely to continue its primary bearish trend, with the next target expected at 1.2395.
Therefore, the bearish trend scenario remains active. It’s worth noting that a breach of the 1.2505 resistance level would negate the expected decline and could lead to short-term gains, targeting a test of 1.2625 before any new attempts at a decline.
Traders should consider a trading range for today, with support at 1.2400 and resistance at 1.2560.
In summary, the GBP/USD pair is currently testing a key resistance level at 1.2505, with a potential bearish outlook as stochastic momentum weakens. However, a breach of 1.2505 could lead to short-term gains.