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GBP/USD Testing Key Consolidation Support

The GBP/USD is at a key support area between 1.51 and 1.52. The daily chart shows that after the sharp rally in April through mid-June, GBP/USD started to trade in a messy, choppy sideways consolidation.

GBP/USD Daily Chart 9/29

(click to enlarge)

The daily chart shows that price is now back to that 1.51-1.52 support area for the price range since May. In the short-term, we can perhaps expect some support here. However, I would limit the bullish outlook to something like 1.54, in case the market is starting to shift back into the bearish mode it was in before April 2015, and going back to July 2014.

A break below 1.51 should open up the lows on the year around 1.46.