GBP/USD consolidated last week. Economists at OCBC note that a move below the 1.1920 area could confirm a descending triangle, opening up next support levels at 1.1840 and 1.1720.
Descending triangle?
“Daily momentum and RSI indicators are not showing a clear bias. But on the weekly chart, bullish momentum is fading.”
“On price action, a potential descending triangle could be forming with support at 1.1920 levels (200-DMA, triangle support). A decisive break to the downside could fuel more downward pressure. Next support at 1.1840, 1.1720 levels.”
“Resistance at 1.2040 (21-DMA), 1.2140 (50-DMA).”
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