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GBP/USD in a Rising Wedge Pattern

The pound has been soft. In October, continued to decline to a new low on the year at 1.5873 before rebounding. Today, price is extending last week's bullish correction attempt, pushing at 1.6150. Price has broken above the 200-, 100-, and 50-hour SMAs, and the 1H RSI has pushed above 60, and almost tagged 70. These are signs that the market is indeed bullish in the near-term, intra-session outlook. 

(GBP/USD 1H Chart 10/20)

Now, this rally from last week has been forming a rising wedge pattern.  A break below 1.6080 would break below this wedge pattern, and therefore signal bearish continuation. We might still want to make sure that a following upswing holds below the 1.6125 area and shows that price has topped in the near-term. 

If price continues drifting higher, the next key resistance will be around 1.6227, which is the current October high. There is also a falling trendline from the high of the year at 1.7191 that might reinforce this 1.6225 area.

(GBP/USD 4H Chart 10/20)