GBP/USD Price Analysis: 1.4250 remains a tough nut to crack for the bulls
- GBP/USD grinds higher following the bounce off 10-day SMA.
- Monthly resistance line, yearly top offer strong challenge to bulls.
- RSI, Momentum also signal a bumpy road ahead.
GBP/USD stays on the front foot around 1.4190 after the previous day’s heavy run-up during Friday’s initial Asian session. In doing so, the cable justifies its bounce from 10-day SMA to aim for the key hurdle around mid-1.4200. However, oscillators are likely testing the pair’s further upside.
During the run-up to 1.4250 resistance confluence, comprising an ascending trend line from April 20 and February’s high, the 1.4200 threshold and monthly peak near 1.4220 offer intermediate halts.
It should, however, be noted that the quote’s sustained break above 1.4250 won’t hesitate to challenge the April 2018 peak surrounding 1.4380.
Meanwhile, a 10-day SMA level of 1.4128 can test the pullback moves before highlighting the 1.4010-4000 horizontal support area.
If the quote remains heavy below 1.4000, the early April tops near 1.3920-15 should gain the market’s attention.
GBP/USD daily chart
Trend: Pullback expected
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.
