GBP/USD Price Analysis: Cable turns defensive above 1.2600 on BoE “Super Thursday”

GBP/USD seesaws around the highest levels since April 2022, prods two-day uptrend.
Clear upside break of five-week-old hurdle, firmer RSI (14) line keeps buyers hopeful.
Weekly descending resistance line, bearish MACD signals and pre-BoE caution challenge Cable buyers.
Bulls seek 1.2700 breakout to keep the reins; downside break of 1.2600 can lure intraday sellers.

Anil Panchal FXStreet

GBP/USD bulls take a breather around 1.2630 amid the early hours of the Bank of England (BoE) inspired “Super Thursday”. That said, the Cable pair rose to a 13-month high the previous day while bouncing off the resistance-turned-support line stretched from early April.

The Pound Sterling’s recovery from the previous resistance line also gained support from the firmer RSI (14) line, not overbought. However, the bearish MACD signals and a downward-sloping resistance line from Monday, close to 1.2635 by the press time, prod the Cable buyers.

Even if the GBP/USD bulls manage to cross the 1.2635 trend line resistance, the latest high of around 1.2680 and the 1.2700 round figure may challenge the quote’s further upside.

Following that, a run-up towards the early April 2022 low surrounding 1.2975 and then to the 1.3000 psychological magnet can’t be ruled out.

On the flip side, a clear downside break of the aforementioned resistance-turned-support near 1.2600 can trigger intraday selling of the GBP/USD pair.

In that case, a three-week-long ascending trend line and the 200-SMA, respectively near 1.2500 and 1.2460, can act as the final defense of the GBP/USD buyers.

Overall, GBP/USD buyers keep the reins despite the latest inaction. However, the upside momentum needs validation from the BoE.

Also read: Bank of England Preview: A risk event for the GBP/USD rally

GBP/USD: Four-hour chart

Trend: Further upside expected

Additional important levels

Overview
Today last price	1.2627
Today Daily Change	0.0006
Today Daily Change %	0.05%
Today daily open	1.2621

Trends
Daily SMA20	1.2497
Daily SMA50	1.2325
Daily SMA100	1.2235
Daily SMA200	1.1954

Levels
Previous Daily High	1.264
Previous Daily Low	1.2578
Previous Weekly High	1.2652
Previous Weekly Low	1.2436
Previous Monthly High	1.2584
Previous Monthly Low	1.2275
Daily Fibonacci 38.2%	1.2616
Daily Fibonacci 61.8%	1.2602
Daily Pivot Point S1	1.2586
Daily Pivot Point S2	1.2551
Daily Pivot Point S3	1.2525
Daily Pivot Point R1	1.2648
Daily Pivot Point R2	1.2675
Daily Pivot Point R3	1.2709

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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