GBP/USD analysis: turning modestly bullish, break above 1.2530 required
|GBP/USD Current price: 1.2490
The GBP/USD pair ends the day flat, a few pips below the 1.2500 level, having set a daily range between 1.2419 and 1.2515 early London, following the release of the BOE's banking stress test. The report showed that the Royal Bank of Scotland being the worst possible performer on a risk-increased scenario. Barclays and Standard Chartered also failed to meet some of their minimum hurdles in a hypothetical scenario which contemplates Brexit and global recession. The Pound found support in rising oil prices, but it was not enough to push the pair beyond the 1.2530, where selling interest is aligned. From a technical point of view, the pair maintains a neutral stance, although with a modest bullish bias, as in the 4 hours chart, the price is developing above its 20 SMA and its 200 EMA, both converging at 1.2460 and clearly reflecting the absence of a dominant trend, while the Momentum indicator heads north above its 100 level, at fresh two weeks highs, but the RSI indicator lost upward strength and heads modestly lower around 54. An upward extension beyond 1.2530 could see the pair rallying up to 1.2600, although further advances ahead of the US NFP report seem unlikely.
Support levels: 1.2460 1.2420 1.2385
Resistance levels: 1.2530 1.2565 1.2610
View Live Chart for the GBP/USD
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.