GBP/USD Price Analysis: 10-day SMA questions declines toward seven-week-old support line

GBP/USD retraces from a short-term SMA after positing the heaviest losses in two weeks.
Bearish MACD favors further selling to the support line stretched from July 20.
A three-month-old resistance line will question the bulls during a fresh upside.

Anil Panchal FXStreet

Despite bouncing off a one-week low the previous day, GBP/USD looks for a clear direction while taking rounds to 1.3275 during Friday’s Asian session. The cable slumped to the 10-day SMA after marking the biggest losses since August 21 on Thursday. However, any further declines have been probed by the traders’ pre-NFP cautious mood.

Even so, bearish MACD signals suggest the pair’s further weakness, which in turn highlights a multi-day-old support line, at 1.3220 for sellers.

Also acting as downside filters could be August 06 high of 1.3185 and the July month’s top surrounding 1.3170.

In a case where the US dollar snaps the three-day winning streak after August month’s employment numbers, buyers may aim for 1.3350 and 1.3400 immediate resistances.

Though, any further upside past-1.3400 will be probed by an ascending trend line from June 10, close to 1.3415/20.

GBP/USD daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	1.3272
Today Daily Change	-79 pips
Today Daily Change %	-0.59%
Today daily open	1.3351

Trends
Daily SMA20	1.3166
Daily SMA50	1.2876
Daily SMA100	1.2648
Daily SMA200	1.2736

Levels
Previous Daily High	1.3402
Previous Daily Low	1.3284
Previous Weekly High	1.3357
Previous Weekly Low	1.3054
Previous Monthly High	1.3396
Previous Monthly Low	1.2982
Daily Fibonacci 38.2%	1.3329
Daily Fibonacci 61.8%	1.3357
Daily Pivot Point S1	1.3289
Daily Pivot Point S2	1.3227
Daily Pivot Point S3	1.317
Daily Pivot Point R1	1.3408
Daily Pivot Point R2	1.3465
Daily Pivot Point R3	1.3527

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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