GBP/USD Price Analysis: Cable bulls run out of steam as 50-DMA prods upside near 1.2450

GBP/USD struggles to extend four-day uptrend at weekly high.
50-DMA guards Cable’s immediate upside ahead of multi-month-old ascending resistance line.
Previous resistance line from mid-May, impending bull cross on MACD challenge Pound Sterling sellers.
Cautious mood ahead of top-tier data/events checks pair’s momentum but bulls stay hopeful.

Anil Panchal FXStreet

GBP/USD grinds near weekly high as bulls and bears jostle ahead of the key data/events scheduled for publishing on Thursday. That said, the Cable pair makes rounds to 1.2450 during early Thursday morning in Europe amid the latest retreat in the US Dollar, mainly due to the cautious optimism and receding hawkish Fed bias. It’s worth noting that the increasing hopes of the Bank of England’s (BoE) further rate increases also favor the Pound sterling buyers.

Technically, the 50-DMA hurdle of 1.2450 restricts the immediate upside of the GBP/USD pair amid a steady RSI (14) line. However, an impending bull cross on the MACD and the quote’s sustained break of a one-week-old descending resistance line allow the buyers to remain hopeful.

Although the aforementioned catalysts suggest the GBP/USD pair’s run-up beyond the 50-DMA immediate hurdle of around 1.2450, an upward-sloping resistance line from late 2022, close to 1.2465 by the press time, could challenge the Cable pair buyers afterward.

Following that, the mid-April high of nearly 1.2550 will act as the last defense of the Pound Sterling bears.

On the contrary, GBP/USD pullback remains elusive unless staying beyond a two-week-old previous resistance line, around 1.2400 at the latest.

In a case where the GBP/USD pair drops below 1.2400, the latest trough surrounding 1.2305 will lure the Cable bears.

Should the Pound Sterling remains weak past 1.2305, the 50% and 61.8% Fibonacci retracement of its March-May upside, respectively near 1.2240 and 1.2135, will be in focus.

GBP/USD: Daily chart

Trend: Further upside expected

Additional important levels

Overview
Today last price	1.2437
Today Daily Change	-0.0003
Today Daily Change %	-0.02%
Today daily open	1.244

Trends
Daily SMA20	1.2474
Daily SMA50	1.2444
Daily SMA100	1.2295
Daily SMA200	1.1987

Levels
Previous Daily High	1.2444
Previous Daily Low	1.2348
Previous Weekly High	1.2472
Previous Weekly Low	1.2308
Previous Monthly High	1.268
Previous Monthly Low	1.2308
Daily Fibonacci 38.2%	1.2408
Daily Fibonacci 61.8%	1.2385
Daily Pivot Point S1	1.2377
Daily Pivot Point S2	1.2315
Daily Pivot Point S3	1.2281
Daily Pivot Point R1	1.2474
Daily Pivot Point R2	1.2507
Daily Pivot Point R3	1.257

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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