GBP/USD - Remained Unchanged This Week - 02/17/2017 (GMT)

On a long-term basis, the GBP/USD pair is developing within a descending triangle over the last five-and-a-half months with significant support obstacle at 1.1985, an all-time low. The pair lost its high volatility and on the daily chart seems very weak. Sterling traded slightly higher against the U.S. dollar during Thursday’s session, however, over the last two days the pair seems to be virtually unchanged. Also, it failed to enjoy the same magnitude of gains as euro. Since yesterday, the price is developing within the 50 and 100 SMAs on the 4-hour chart, confirming the recent weak momentum.

Technical indicators are flattening slightly above their mid-levels waiting for a sharp move in price. We suggest avoiding opening positions in this currency as there is no clear tendency or you can wait for a break below the 1.2385 critical level which will drive the pair until 1.2120. For short-term traders, the price may move beneath the aforementioned moving averages and hit again the 1.2440 support barrier.