Yesterday the GBP/USD traded in different directions in the range of $1.2065-$1.2210 and closed the day without significant changes. Today it fell a little, dropping to $1.2130. On the hourly chart, the GBP/USD is testing the strength of the support - the moving average line MA (200) H1 ($1.2145). On the four-hour chart, the GBP/USD is still above the MA 200 H4 line. Based on the above, it is probably worth sticking to the north direction in trading, and as long as the GBP/USD remains above MA 200 H1, it may be necessary to look for entry points to buy at the end of the correction.
Resistances levels are at: $1.2210, $1.2240, $1.2290
Support levels are at: $1.2065, $1.2020, $1.1965
Probably, the main scenario is continued growth towards $1.2210 (Aug 4 high).
The alternative scenario is consolidation below the MA 200 H1 level, followed by a decline to $1.1965 (Jul 26 low).
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