Lower Lows Signal Downside Momentum

• RES 4: 1.3391 1.236 proj of the Mar 8 - May 10 - May 25 price swing
• RES 3: 1.3328 76.4% retracement of the Jun ‘21 - Sep ‘22 downleg
• RES 2: 1.3258 1.236 proj of the May 25 - Jun 16 - Jun 29 price swing
• RES 1: 1.3174 Bull channel top drawn from the Mar 8 low
• PRICE: 1.2870 @ 08:55 BST Jul 21
• SUP 1: 1.2840 Low Jul 20
• SUP 2: 1.2801 61.8% Fib for Jun-July Upleg
• SUP 3: 1.2751 Low Jul 10
• SUP 4: 1.2674 Low Jul 6

GBPUSD traded weaker for a fifth consecutive session Thursday, marking an extension of the streak of lower lows in the pair and a partial retracement of the late June rally. Markets are on watch for a potential reversal pattern - which gathered strength on the show below 1.2866 - the 50% retracement of the late June upleg. This opens potential for losses toward 1.2801 initially. More broadly, moving average studies remain in bull-mode position, with upside focus on 1.3174, the top of a bull channel drawn from the Mar 8 low.