GBP/USD falls back into the European opening

The pound did come under pressure yesterday afternoon, as the dollar rose into the 4pm London Fix. The GBP/USD dropped back to a low at 1.2662. However, that fall was recovered into the US close. The GBP/USD later ended the US session slightly higher than on Friday, at 1.2709. However, it has taken a hit in trading just now and dropped back from an earlier session high at 1.2721, to a low a moment ago at 1.2684. The pound has been pushed back by a corresponding fall in the EUR/USD this morning. What we have right now is a triangle formation, with a series of lower highs and higher lows in place since the start of the year and it remains to be seen which way this will break. That could come when the BOE decides on policy this Thursday, assuming it is not beforehand, after the Fed decision tomorrow evening. The GBP/USD is currently trading at 1.2690