• GBP/USD pares the biggest daily losses in two weeks.
  • Key DMAs restrict short-term moves, RSI suggests buyer’s exhaustion.

GBP/USD seesaws around 1.3480 during the initial Asian session on Tuesday. The cable pair dropped the most in two weeks while stepping back from early November highs the previous day.

Even so, the quote remains between the 50-DMA and 100-DMA, suggesting further sideways momentum.

It’s worth noting that the RSI line suggests that the bulls are tired and hence short-term declines toward the 50-DMA level surrounding 1.3400 can’t be ruled out.

However, the 38.2% Fibonacci retracement level of the October-December fall adds strength to the stated support near 1.3400 and challenges the GBP/USD bears.

Should the quote drops below 1.3400, tops marked during late November and mid-December, around 1.3370-75, will act as an extra filter to the south.

On the flip side, 50% Fibo. near 1.3500 round figure will restrict short-term upside moves of the GBP/USD prices ahead of the 100-DMA level of 1.3560.

Following that, the 61.8% Fibonacci retracement level and a three-month-old horizontal line, respectively around 1.3580 and 1.3610, will challenge the pair buyers.

To sum up, GBP/USD rebound seems to find less acceptance but bears need to break the 50-DMA to retake controls.

GBP/USD: Daily chart

Trend: Sideways

Additional important levels

Overview
Today last price 1.3482
Today Daily Change 0.0003
Today Daily Change % 0.02%
Today daily open 1.3479
 
Trends
Daily SMA20 1.3337
Daily SMA50 1.3414
Daily SMA100 1.3562
Daily SMA200 1.3745
 
Levels
Previous Daily High 1.3535
Previous Daily Low 1.3431
Previous Weekly High 1.355
Previous Weekly Low 1.3393
Previous Monthly High 1.355
Previous Monthly Low 1.3161
Daily Fibonacci 38.2% 1.3471
Daily Fibonacci 61.8% 1.3495
Daily Pivot Point S1 1.3428
Daily Pivot Point S2 1.3378
Daily Pivot Point S3 1.3324
Daily Pivot Point R1 1.3532
Daily Pivot Point R2 1.3586
Daily Pivot Point R3 1.3636

 

 

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