FXstreet.com (Córdoba) - The British pound failed to sustain its European advance versus the dollar, and after hitting a daily high of 1.6051, it turned south and has been retracing gains within the last hours. The setback of the GBP/USD has extended to the 1.6010 area so far, where the pair trades virtually unchanged on the day.
"In the 4 hours chart price retreats from a strongly bearish 20 SMA, usually a bearish signal, as indicators move slightly higher in negative territory, diverging with market sentiment", Valeria Bednarik, chief analyst at FXstreet.com recently commented. "Unless a clear recovery above 1.6065, the upside seems quite limited for today, with chances of a retest of 1.5970 monthly low if local share markets continue losing ground".
"In the 4 hours chart price retreats from a strongly bearish 20 SMA, usually a bearish signal, as indicators move slightly higher in negative territory, diverging with market sentiment", Valeria Bednarik, chief analyst at FXstreet.com recently commented. "Unless a clear recovery above 1.6065, the upside seems quite limited for today, with chances of a retest of 1.5970 monthly low if local share markets continue losing ground".
