GBP/USD Price Analysis: Bears attack 1.3800 on the break of 11-week-old support line

GBP/USD takes offers near intraday low, drops for the fifth day in a row.
Bearish MACD, break of short-term key support line favor sellers.
50-day SMA offers immediate support, monthly top adds to the upside barriers.

Anil Panchal FXStreet

GBP/USD refreshes intraday low with 1.3802, currently around 1.3810, during its fifth day of declines on Tuesday.

The cable recently broke an ascending support line, now resistance, from late December while bearish MACD signals exert additional downside pressure on the quote.

As a result, the GBP/USD sellers seem currently targeting the 50-day SMA level of 1.3766 ahead of the key support line from November 2020, at 1.3730 now.

Meanwhile, a corrective pullback beyond the previous support line of 1.3840 can cross the 1.3900 threshold but the monthly peak surrounding 1.4020 will be a tough nut to break afterward.

In a case where GBP/USD bulls manage to cross 1.4020, the multi-month high flashed in February around 1.4240-45 should return to the chart.

Overall, GBP/USD is ready to test the key support line while a break of which should reverse the uptrend from September 2020.

GBP/USD daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	1.381
Today Daily Change	-8 pips
Today Daily Change %	-0.06%
Today daily open	1.3818

Trends
Daily SMA20	1.3931
Daily SMA50	1.3761
Daily SMA100	1.3512
Daily SMA200	1.3177

Levels
Previous Daily High	1.3865
Previous Daily Low	1.38
Previous Weekly High	1.4017
Previous Weekly Low	1.3779
Previous Monthly High	1.4243
Previous Monthly Low	1.3566
Daily Fibonacci 38.2%	1.3825
Daily Fibonacci 61.8%	1.384
Daily Pivot Point S1	1.3791
Daily Pivot Point S2	1.3763
Daily Pivot Point S3	1.3726
Daily Pivot Point R1	1.3855
Daily Pivot Point R2	1.3892
Daily Pivot Point R3	1.392

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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