GBP/USD carves higher low near 1.3030 – Société Générale

GBP/USD is showing early signs of recovery, forming a higher low at 1.3030 and breaking the descending channel, with potential upside toward 1.3300 if support holds, Société Générale's FX analysts note.

GBP/USD breaks upper limit of descending channel

"GBP/USD has carved out a higher low near 1.3030 than the one achieved in first week of November near 1.3000. It has crossed the upper limit of the descending channel that had encompassed recent decline."

"A short-term up move towards the confluence of 50-DMA and 200-DMA near 1.3300 cannot be ruled out. If the pair overcomes this hurdle, a larger up move may materialize. Defence of 1.3030 will be crucial for persistence in rebound."