- GBP/USD once again fails near the 200-hour SMA/descending channel confluence resistance.
- Mixed oscillators on daily/hourly charts warrant some caution before placing directional bets.
The GBP/USD pair continued with its struggle to move back above the 200-hour SMA and turned lower for the third consecutive session on Friday. The intraday pullback from a resistance marked by the top end of an ascending trend-channel formation on the 1-hourly chart dragged the pair to multi-day lows around the 1.2160 region in the last hour.
The intraday downward bias was reinforced by bearish oscillators on 4-hourly/daily charts. However, technical indicators on the daily charts have moved on the verge of breaking into overbought territory and warrant some caution. Hence, any subsequent slide is likely to remain limited near the trend-channel support, around the 1.2140 region.
Meanwhile, any attempted recovery might continue to confront some fresh supply near the mentioned confluence hurdle, currently around the 1.2225 region. This is followed by 50-day SMA, near the 1.2270 region, which if cleared decisively, might be seen as a fresh trigger for bullish traders and prompt some near-term short-covering move.
The pair might then look to surpass the 1.2290-1.2300 region and aim to test the 1.2340 resistance zone. Some follow-through buying has the potential to lift the pair further towards the 1.2400 round-figure mark en-route the next major hurdle near the 1.2465-70 zone.
GBP/USD 1-hourly chart
Technical levels to watch
|Today last price||1.2177|
|Today Daily Change||-0.0046|
|Today Daily Change %||-0.38|
|Today daily open||1.2223|
|Previous Daily High||1.225|
|Previous Daily Low||1.2186|
|Previous Weekly High||1.2438|
|Previous Weekly Low||1.2102|
|Previous Monthly High||1.2648|
|Previous Monthly Low||1.2165|
|Daily Fibonacci 38.2%||1.221|
|Daily Fibonacci 61.8%||1.2225|
|Daily Pivot Point S1||1.2189|
|Daily Pivot Point S2||1.2156|
|Daily Pivot Point S3||1.2125|
|Daily Pivot Point R1||1.2253|
|Daily Pivot Point R2||1.2283|
|Daily Pivot Point R3||1.2317|
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.