GBP/USD Price Analysis: Clings near 1.2720 followed by the barrier at 14-day EMA

GBP/USD pair could target immediate support around the 50.0% retracement level of 1.2706.
MACD, the lagging indicator, suggests a tepid momentum for the pair.
The key barrier could be found at the 14-day EMA of 1.2735 level and major resistance of 1.2750 level.

Akhtar Faruqui FXStreet

GBP/USD trims intraday losses and attempts to snap its losing streak on Wednesday. The GBP/USD pair hovers near 1.2720 during the Asian trading hours. The market adopts cautious sentiment ahead of the Federal Reserve’s (Fed) interest rate decision later in the North American session.

The GBP/USD pair finds immediate support at the 50.0% retracement level of 1.2706, in conjunction with the psychological level of 1.2700. A break below this level could put downward pressure on the pair to navigate the region around the 61.8% Fibonacci retracement level of 1.2661, followed by the major support of 1.2650 level.

The technical analysis of the GBP/USD pair shows that the 14-day Relative Strength Index (RSI) is positioned above 50. This indicates a bullish momentum for the pair. However, the Moving Average Convergence Divergence (MACD), a lagging indicator, suggests a tepid momentum for the pair. the MACD line is situated above the centerline but shows divergence below the signal line.

On the upside, the GBP/USD pair could meet the key barrier at the 14-day Exponential Moving Average (EMA) of 1.2735 level followed by the major resistance of 1.2750 level. A break above the latter could exert upward support for the pair to explore the area around the psychological level at 1.2800.

GBP/USD: Daily Chart

GBP/USD

Overview
Today last price	1.2719
Today Daily Change	-0.0002
Today Daily Change %	-0.02
Today daily open	1.2721

Trends
Daily SMA20	1.272
Daily SMA50	1.2686
Daily SMA100	1.2626
Daily SMA200	1.2594

Levels
Previous Daily High	1.2733
Previous Daily Low	1.2668
Previous Weekly High	1.2865
Previous Weekly Low	1.2725
Previous Monthly High	1.2773
Previous Monthly Low	1.2518
Daily Fibonacci 38.2%	1.2693
Daily Fibonacci 61.8%	1.2708
Daily Pivot Point S1	1.2682
Daily Pivot Point S2	1.2642
Daily Pivot Point S3	1.2616
Daily Pivot Point R1	1.2747
Daily Pivot Point R2	1.2773
Daily Pivot Point R3	1.2813

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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