GBP/USD Forecast April 6, 2017, Technical Analysis

The British pound rallied during the session on Wednesday, as the 1.24 level continues to offer support. Because of this, it looks as if this is a “buy on the dips” type of market, but I also see a significant amount of resistance near the 1.26 handle. In other words, this is consolidation, but with a slightly upward bias. Keep in mind that there are a lot of headlines about the British pound now and of course the British economy, so this could be a messy trade. Ultimately, this is a market that I believe breaks out to the upside over the longer term.