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Technical Analysis: GBPUSD challenges monthly rising wedge on the data-packed day

GBPUSD remains on the front foot during the early Friday. The pair probes the upper line of the rising wedge bearish technical pattern as UK Retail Sales came out better than forecast for June. Traders may now await British preliminary PMIs for July for fresh impulse. Even so, the RSI divergence on the four-hour chart flash red signals for the buyers. Hence, declines below 1.2700 could be seen as an immediate selling opportunity ahead of the early-month top surrounding 1.2665. Though, any further downside will have to confirm the bearish chart formation with a break below 1.2595, as well as clearing the 200-bar SMA support level of 1.2545, to aim for 61.8% Fibonacci retracement near 1.2355.

Should the bulls keep the reins, the upper line of the mentioned chart formation, at 1.2790 now, followed by June month high near 1.2815, be the key to watch. In a case where the GBPUSD prices continue to rise past-1.2815, February 20 low near 1.2850 will hold the gate for 1.3000 threshold's return.

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