The GBP/USD has plunged today and has managed to delete the yesterday’s gains, is trading in the red again and looks determined to start another downside momentum. Has found strong resistance and now has dropped even if the USDX remains under selling pressure, the index has decreased a little  today, but bulls have taken the lead again in the last hours and are fighting hard to drive the rate higher. A USDX’s increase will help the greenback to appreciate versus its rivals on the short term, I’ve said in my yesterday’s articles that the USDX could increase again if will have enough energy to stay above the 99.12 static support, maybe we had a false breakout in the yesterday’s session and the index will start another leg higher.

The USDX is moving somehow sideways on the short term, could resume this range if will stay above the 99.12 major static support, but we still need a confirmation that the index will climb higher in the coming weeks. The GBP/USD continues to move sideways on the Daily chart, looks like that is developing a symmetrical triangle, so we could have a clear direction in the coming two three weeks.

Price has dropped aggressively after the failure to reach the median line (ML) of the major descending pitchfork, has also failed to reach the upside line of the potential symmetrical triangle. Right now is pressuring the lower median line (lml) of the ascending pitchfork, a valid breakdown will attract more sellers, which will drive the rate lower.

You can notice that the rate is developing a symmetrical triangle on the Daily chart, we’ll have a clear direction when will escape from this chart pattern, we could have a selling opportunity if the price will come back to test and retest the confluence area formed at the intersection between the median line (ML) of the major descending pitchfork with the lower median line (lml) of the ascending pitchfork.

Could drop again if will fail once again to take out the major dynamic resistance from the median line (ML) of the major descending pitchfork.