According to Karen Jones, analyst at Commerzbank, GBP/USD pair remains upside corrective very near term and has reached the 23.6% retracement at 1.2753, where it is consolidating.

“It will need to regain this on a closing basis as an absolute minimum in order to alleviate immediate downside pressure and avert further losses to the 1.2444 December 2018 low. We are looking for the correction to extend to the 38.2% retracement at 1.2873, where we suspect it will stall. Minor resistance lies at the 1.2772 February low ahead of the 1.2865 April low. Immediate downside pressure will be maintained while no rise above the 200 day moving average at 1.2945 is seen. Next up is the May 10 high at 1.3048. Only if this level were to be exceeded, would we look for the 1.3185/97 April and current May highs to be retested.”