• GBP/USD was seen consolidating its recent gains to a near two-month high.
  • The set-up supports prospects for a further near-term appreciating move.
  • Any meaningful dip might still be seen as an opportunity for bullish traders.

The GBP/USD pair extended its sideways consolidative price action and remained confined in a narrow trading band, just below the 1.3600 mark through the mid-European session.

From a technical perspective, acceptance above the 100-day SMA supports prospects for an extension of the recent appreciating move further beyond the 61.8% Fibonacci level of the 1.3834-1.3161 fall. Some follow-through buying beyond the 1.3600 mark will reaffirm the positive outlook.

The GBP/USD pair might then accelerate the momentum towards testing a descending trend-line hurdle, around the 1.3675 region. The mentioned barrier extends from July 2021 swing high and should act as a key pivotal point, which if cleared will be seen as a fresh trigger for bullish traders.

On the flip side, the 100-day SMA, currently around mid-1.3500s, now seems to protect the immediate downside. Any subsequent decline might still be seen as a buying opportunity and remain limited near the key 1.3500 psychological mark, which coincides with the 50% Fibo. level.

A convincing break below the mentioned support levels could prompt some technical selling and drag the GBP/USD pair to the 1.3460-55 region en-route the 1.3430 area. This is followed by the 38.2% Fibo. level/50-day SMA confluence resistance breakpoint, near the 1.3400 round figure.

GBP/USD daily chart

fxsoriginal

Technical levels to watch

GBP/USD

Overview
Today last price 1.3582
Today Daily Change -0.0013
Today Daily Change % -0.10
Today daily open 1.3595
 
Trends
Daily SMA20 1.34
Daily SMA50 1.3399
Daily SMA100 1.3557
Daily SMA200 1.374
 
Levels
Previous Daily High 1.3597
Previous Daily Low 1.3528
Previous Weekly High 1.3599
Previous Weekly Low 1.3431
Previous Monthly High 1.355
Previous Monthly Low 1.3161
Daily Fibonacci 38.2% 1.3571
Daily Fibonacci 61.8% 1.3554
Daily Pivot Point S1 1.3549
Daily Pivot Point S2 1.3504
Daily Pivot Point S3 1.348
Daily Pivot Point R1 1.3619
Daily Pivot Point R2 1.3643
Daily Pivot Point R3 1.3688

 

 

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