GBP/USD Price Analysis: Turns vulnerable below the recent trading range support near 1.2300 mark
|- GBP/USD remained under heavy selling pressure through the mid-European session on Friday.
- Any meaningful positive move might now be seen as a selling opportunity and remain capped.
The GBP/USD pair extended the previous day's intraday rejection slide from the 1.2475 supply zone and continued losing ground through the mid-European session on Friday.
A sustained break below 100-hour EMA was seen as a key trigger for bearish traders and dragged the pair closer to the lower end of its weekly trading range, around the 1.2260 region.
However, technical indicators on the 1-hourly chart have already drifted into the oversold territory and assisted the pair to quickly recover around 30 pips from daily swing lows.
Meanwhile, the fact that the pair now seems to have confirmed a near-term bearish break through a multi-day-old trading range, the bias seems tilted in favour of bearish traders.
Hence, any subsequent recovery beyond the 1.2300 round-figure mark might still be seen as a selling opportunity and remain capped near the 1.2345-50 region (100-hour EMA).
The pair seems vulnerable to continue with its downward trajectory, even below weekly lows, around the 1.2240 region, towards challenging the 1.2200 round-figure mark.
GBP/USD 1-hourly chart
Technical levels to watch
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.