GBP/USD Price Analysis: Hourly support structures are eyed

• An M-formation has formed on GBP/USD H1 chart and it might pull the price in towards 1.2700.
• Bears look to test the1.2620s as a key support structure.

GBP/USD was higher on the day as it approached 1.27 the figure ahead of the Federal Reserve on Wednesday. It reached its strongest level since April 2022 as the central bank divergence between the Bank of England and the Fed ignited the bulls. However, the highs were shortlived and the price sank into the Fed meeting and throughout on a hawkish hold from the Fed. This leaves the technical outlook mixed in the shorter-term time frame as the following will illustrate:

GBP/USD hourly chart

The M-formation has formed and it might pull the price in towards 1.2700 again but resistance could see the price fall. The trendline support is another factor, however, but if that goes, then the Bears will be back in the driving seat. 1.2620s are eyed as a key support structure in this regard.