Pound Sterling Price News and Forecast: GBP/USD critical support at 1.2980
|GBP/USD Price Analysis: 50-day SMA probes the heaviest losses in six months
GBP/USD retraces from the multi-day low of 1.2950 to 1.2962 during the pre-Tokyo open trading on Wednesday. The Cable marked heaviest losses since March 18 the previous day as Brexit pessimism took over. However, failures to break 50-day SMA, needless to mention about an ascending trend line from late-March and June month’s top, suggest further consolidation of the quote.
Though, the 1.3000 threshold and August 24 low near 1.3050/55 guard the pair’s immediate upside ahead of March month’s peak of 1.3200. Additionally, the pair’s sustained run-up past-1.3200 will confront the 1.3265/70 resistance area ahead of challenging the monthly high surrounding 1.3480.
GBP/USD Forecast: Critical support at 1.2980
The GBP/USD pair traded as low as 1.2985 this Tuesday settling at the end of the American session a few pips above this last. The pound remained in sell-off mode on the back of Brexit jitters, as chances of a no-trade deal increased sharply in the last couple of days, and neither the UK nor the EU seem willing to give up on their demands. UK PM Johnson’s spokesman said this Tuesday that, while the government still thinks a deal is possible, the EU needs to be more realistic.
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