GBPUSD STILL BEARISH BELOW 1.4000 LEVEL
The British pound has recovered the 1.3900 handle against the U.S dollar, after finding support at the 1.3825 level on Tuesday, following a broad-recovery in global stock markets and a sell-off in the U.S dollar index. The GBPUSD pair is currently trading around the 1.3960 level, as price-action starts to consolidate in a tight range before its next directional move. Overall sentiment remains fragile for the British pound on Wednesday, as Brexit negotiations and UK political uncertainty continue to worry investors.
The GBPUSD pair is still intraday bearish while trading below the key 1.4000 level, further losses towards 1.3938 and 1.3870 remain a risk.
Should price-action on the GBPUSD pair start to move above the 1.4000 level, we may see a upward correction towards the 1.4058 and 1.4100 levels.