GBP/USD Price Analysis: Bears take a breather on the way to 1.1930


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  • GBP/USD remains depressed around one-week low after breaking short-term key support.
  • Steady RSI, impending bear cross on MACD also keep sellers hopeful.
  • Buyers need validation from two-month-old resistance line, 1.2000 can test intraday sellers.

GBP/USD dribbles around mid-1.2000s as the Cable traders lick their wounds during Tuesday’s Asian session, after the biggest daily fall in a week. Even so, the quote remains on the bear’s radar as it stays beneath the 1.2110-2100 support-turned-resistance.

A clear downside break of the convergence of the 21-DMA and an upward sloping trend line from mid-July keep GBP/USD sellers hopeful. Also suggesting the pair’s further downside is the descending RSI (14), not oversold, as well as a looming bear cross on the MACD.

That said, the pair is likely declining towards the horizontal area comprising multiple levels marked since June, around 1.1930. However, the 1.2000 psychological magnet may offer an intermediate halt during the anticipated fall.

In a case where the GBP/USD prices drop below 1.1930, the odds of witnessing a slump towards the yearly low of 1.1760 seem acceptable.

Alternatively, a corrective pullback need not only to cross the 1.2100-2110 immediate hurdle but a two-month-old descending trend line resistance, close to 1.2265 by the press time, to convince GBP/USD buyers.

Even so, the 100-DMA level surrounding 1.2415 could challenge the quote’s further advances.

GBP/USD: Daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price 1.2057
Today Daily Change -0.0081
Today Daily Change % -0.67%
Today daily open 1.2138
 
Trends
Daily SMA20 1.2099
Daily SMA50 1.2138
Daily SMA100 1.2425
Daily SMA200 1.2913
 
Levels
Previous Daily High 1.2217
Previous Daily Low 1.21
Previous Weekly High 1.2277
Previous Weekly Low 1.2048
Previous Monthly High 1.2246
Previous Monthly Low 1.176
Daily Fibonacci 38.2% 1.2145
Daily Fibonacci 61.8% 1.2172
Daily Pivot Point S1 1.2086
Daily Pivot Point S2 1.2034
Daily Pivot Point S3 1.1968
Daily Pivot Point R1 1.2204
Daily Pivot Point R2 1.227
Daily Pivot Point R3 1.2322

 

 

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