- GBP/USD bears take on the critical support area.
- Bulls could be encouraged by the development of the hourly H&S.
GBP/USD has been pressured in recent trade and is now testing the critical short term support and psychological 1.41 level.
However, the prospects of a near term downside continuation are limited by the potential reverse head and shoulders in the making on the hourly chart.
The price is trading between a weekly 38.2% Fib support area and the resistance of the daily highs and sideways channel.
Overall, there are probabilities of a deeper retracement of the weekly bullish impulse, however, this may take some time before playing out.
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