- GBP/USD pares intraday gains after refreshing multi-day top.
- Overbought RSI, six-week-old horizontal hurdle challenge Cable buyers.
- 21-SMA adds strength to 1.2365 key support, successful break of 1.2530 will defy rising wedge formation.
GBP/USD struggles to defend the 1.2400 threshold during a five-day uptrend to Monday’s European session, after rising to the highest levels since June 2022 earlier in the day.
In doing so, the Cable pair eases from the six-week-old horizontal resistance surrounding 1.2450 as the RSI (14) hits the overbought territory.
In addition to the quote’s repeated failures to cross the 1.2450 hurdle and the overbought RSI conditions, a 13-day-old rising wedge bearish chart formation also teases the GBP/USD bears around the multi-day top.
However, the 21-SMA level adds strength to the 1.2365 support, a break of which will confirm the rising wedge bearish pattern.
Following that, the 1.2100 and the 1.2000 round figures may entertain the GBP/USD bears during the theoretical south-run targeting the 1.1800 levels.
It should be noted that the sluggish MACD signals challenge the pair’s intraday momentum and hence restrict the bear’s entry.
On the contrary, successful trading beyond the 1.2450 hurdle isn’t an open invitation to the GBP/USD bulls as the stated wedge’s top line, near 1. 2530 by the press time, will act as an additional upside filter for the pair.
In a case where the GBP/USD remains firmer past 1.2530, a run-up towards May 2022 high near 1.2665 can’t be ruled out.
GBP/USD: Four-hour chart
Trend: Limited upside expected
Additional important levels
|Today last price||1.2413|
|Today Daily Change||0.0018|
|Today Daily Change %||0.15%|
|Today daily open||1.2395|
|Previous Daily High||1.2404|
|Previous Daily Low||1.2335|
|Previous Weekly High||1.2436|
|Previous Weekly Low||1.2169|
|Previous Monthly High||1.2447|
|Previous Monthly Low||1.1992|
|Daily Fibonacci 38.2%||1.2378|
|Daily Fibonacci 61.8%||1.2362|
|Daily Pivot Point S1||1.2352|
|Daily Pivot Point S2||1.2309|
|Daily Pivot Point S3||1.2283|
|Daily Pivot Point R1||1.2421|
|Daily Pivot Point R2||1.2447|
|Daily Pivot Point R3||1.249|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Follow us on Telegram
Stay updated of all the news
EUR/USD rises toward 1.0800 as USD weakens
EUR/USD has gained traction and advanced toward 1.0800 in the early American session on Monday. The positive opening witnessed in Wall Street makes it difficult for the US Dollar to find demand and helps the pair continue to push higher.
GBP/USD closes in on 1.2300 as mood improves
GBP/USD has preserved its bullish momentum and advanced to the 1.2300 area in the second half of the day on Monday. The risk positive market atmosphere makes it difficult for the US Dollar to stay resilient against its rivals and fuels the pair's daily rally. Eyes on BOE Governor Bailey's speech.
Gold: XAU/USD pared losses and consolidates around $1,950.00 Premium
Spot gold trades in the $1,950 price zone, sharply down on Monday as investors move away from safe-haven assets. The sentiment is positive at the start of the week amid easing concerns related to a global banking crisis.
Four reasons why SUSHI holders will have a bullish week despite SEC's move
SushiSwap price undid the early March gains in the last week after the SEC subpoenaed the platform’s head chef Jared Grey. As a result of this announcement, the token collapsed by roughly 18%.
Alibaba (BABA) edges higher after Jack Ma returns to China for AI talk
BABA shareholders begin the week with a glimmer of hope after founder Jack Ma was seen visiting China after spending more than one year abroad. The report originally led to Alibaba's shares in Hong Kong rising 4% before subsiding.