GBP/USD Price Analysis: Bears flirt with 61.8% FE amid oversold RSI

GBP/USD remains on the back foot, recently sidelined around yearly low.
Bearish impulse fades but bulls have limited upside room.
September’s low challenges immediate recovery moves, further downside to aim for early November 2020 tops.

Anil Panchal FXStreet

GBP/USD bears seem tired around the lowest level since December 2020 as the cable pair seesaws near 1.3360-65 amid Friday’s Asian session, after refreshing the multi-day bottom the previous day.

The latest pause in the south-run could be linked to the oversold RSI conditions and the quote’s failures to break the 61.8% Fibonacci Extension (FE) level of the quote’s moves between late October and November 09.

However, September’s low around 1.3410 stays ready to challenge the anticipated corrective pullback. Also acting as an upside barrier is the early month bottom close to 1.3425.

In a case where the GBP/USD prices remain firmer passed 1.3425, a descending resistance line from October 28 and 50-SMA, respectively near 1.3520 and 1.3540, will be in focus.

Alternatively, further weakness needs to provide a decisive closing below 1.3350 immediate FE support ahead of visiting the early November 2020 peak near 1.3310.

Following that, the 100% FE level around the 1.3200 threshold will lure the GBP/USD bears.

GBP/USD: Four-hour chart

Trend: Corrective pullback expected

Additional important levels

Overview
Today last price	1.3366
Today Daily Change	-0.0042
Today Daily Change %	-0.31%
Today daily open	1.3408

Trends
Daily SMA20	1.3678
Daily SMA50	1.3686
Daily SMA100	1.3748
Daily SMA200	1.3847

Levels
Previous Daily High	1.3565
Previous Daily Low	1.3405
Previous Weekly High	1.3698
Previous Weekly Low	1.3424
Previous Monthly High	1.3834
Previous Monthly Low	1.3434
Daily Fibonacci 38.2%	1.3466
Daily Fibonacci 61.8%	1.3504
Daily Pivot Point S1	1.3354
Daily Pivot Point S2	1.33
Daily Pivot Point S3	1.3194
Daily Pivot Point R1	1.3514
Daily Pivot Point R2	1.3619
Daily Pivot Point R3	1.3673

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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