GBPUSD Price Analysis: Retreats from two-month-old resistance towards 1.1500
|- GBPUSD takes offers to refresh intraday low, snaps three-day uptrend around a one-week high.
- 50-DMA, monthly support line challenge bears amid upbeat oscillators.
- Buyers need validation from 100-DMA to keep the reins.
GBPUSD bears return to the table, after a three-day absence, as the Cable pair renews its intraday low near 1.1530 during Wednesday’s Asian session.
In doing so, the quote takes a U-turn from a downward-sloping resistance line from early September.
However, the bullish MACD signals and steady RSI (14) join the pair’s successful trading above the 50-DMA, around 1.1330 at the latest, to keep the buyers hopeful.
Even if the quote breaks the 1.1330 support, a one-month-old ascending trend line, near 1.1190 by the press time, could challenge the GBPUSD bears.
Following that, a slump toward the monthly low near 1.1150 and then to October’s trough surrounding 1.0925 can’t be ruled out.
Meanwhile, an upside clearance of the aforementioned immediate resistance line near 1.1600 isn’t an open invitation to the GBPUSD bulls as the 100-DMA level of 1.1672 acts as the last defense of the bears.
Should the quote stays firmer past 1.1672, September’s high around 1.1740 and tops marked during late August, surrounding 1.1900, will gain the market’s attention.
Overall, GBPUSD is likely to witness a pullback but the bears are far from taking control.
GBPUSD: Daily chart
Trend: Limited downside expected
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.