GBPUSD stays within a upward price channel on 4-hour chart, and remains in the short term uptrend from 1.5854, the fall from 1.6240 could be treated as consolidation of the uptrend. Support is located at the lower line of the channel, as long as the channel support holds, another rise to re-test 1.6259 (Oct 1 high) resistance is still possible, a break above this level will signal resumption of the longer term uptrend from 1.4813 (Jul 9 low), then the target would be at 1.7000 area. On the downside, a clear break below the channel support will suggest that the upward movement from 1.5854 had completed at 1.6240 already, then the following downward move could bring price back to test 1.5854 support.
Provided by ForexCycle.com
