GBP/USD returns to a downtrend

After almost a week of corrective movement, the pair GBP/USD remains trading near significant support at 1.3360-50. The resumption of the pound’s decline was caused by the change in general sentiments about the Brexit talks to negative, after the EU and Ireland representatives said that some pressing issues remain open.

As a result, the weekly downtrend for the pair GBP/USD persists, limited to the support level of 1.3360. Given the safety of corrective movement on the pound and the obvious braking of negotiations on Brexit, one should expect a deeper decline in the pair when fixing its price below 1.3360-50 and further support test 1.3300-1.3290. In the future, a longer correction to 1.3260 and 1.3230 is possible. Resistance is at the levels: 1.3390 and 1.3420-30.

Fig. GBP/USD. The current price is 1.3370.

Hanzenko Anton