GBP/USD slipped lower at the start of last week, but found support above 1.2613, resulting in a rebound. Despite the recovery, overall momentum remains subdued as the pair stays below the resistance at 1.2860. For the near term, consolidation could be expected, as GBP/USD continues to trade within a range. If the support at 1.2613 gives way, further decline toward the 1.2445 support zone is likely, while a strong break above 1.2860 would resume the rally from 1.2298 and target the 61.8% retracement at 1.3043.
On a broader scale, the near-term outlook is somewhat neutral, with no confirmed direction until a decisive break occurs on either side. Downside risks remain if 1.2613 fails to hold, leading to deeper correction, but strong buying above that level could eventually send the pair higher. Traders should watch support and resistance levels to gauge the next significant move for GBP/USD.
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