The British pound sterling continues to hold a strong bullish momentum. The strong reversal after the price fell to a two-week low has now invalidated the ascending wedge pattern.
This keeps price action biased to the upside. After Friday’s close, the GBPUSD is trading back close to the three and half year high.
The currency pair has also now closed with bullish gains for four consecutive weeks.
Still, the momentum is slowing and unless the GBPUSD closes strongly above 1.3755, we expect price action to remain flat near the current highs.