Possible hammer on the GBP/USD

The GBP/USD has fallen during today’s session to the 1.3100 level as shown on the daily chart. The drop on the GBP/USD comes from the bearish bounce at the 55 day EMA (purple line). If the pair continues dropping below the 1.3100 level, then its next support could be the 1.3000 level. After the bullish bounce from the 1.3100 level, the pair forms a hammer pattern. The hammer is a bullish reversal pattern, but it is confirmed when the next candle is bullish. Therefore, we could see a bullish pullback on the GBP/USD. If the pair retraces to the upside, the 1.3400 level could act as resistance, but a better resistance is at the 1.3500 level where we can also find the 200 day EMA (blue line). Another possible scenario on the GBP/USD is that the price may consolidate between the 1.3100 level and the 1.3300 level.