GBP/USD Price Analysis: Pound corrects from 17-month highs, trades near 1.3330 level

The pound is correcting the massive bullish spike triggered by the UK elections.
Support is seen at the 1.3344, 1.3288 and 1.3254 price levels.

Flavio Tosti Independent Analyst

GBP/USD daily chart

The market reached 17-month highs as the elections in the UK provided extreme volatility. The underlying trend stays bullish while above the main daily SMAs.

GBP/USD four-hour chart

GBP/USD is correcting down after the massive bullish spike. The market is testing the 1.3344 support. If the correction goes on below that level the market could continue to slide towards the 1.3288 and 1.3254 price levels, according to the Technical Confluences Indicator.

GBP/USD 30-minute chart

The spot is challenging the 50 SMA. Bulls seem to be absent this Friday. Resistance is seen at the 1.3435, 1.3455/62 and 1.3518 levels, according to the Technical Confluences Indicator.

Additional key levels

GBP/USD

Overview
Today last price	1.3332
Today Daily Change	0.0161
Today Daily Change %	1.22
Today daily open	1.3171

Trends
Daily SMA20	1.3002
Daily SMA50	1.2857
Daily SMA100	1.2555
Daily SMA200	1.2698

Levels
Previous Daily High	1.323
Previous Daily Low	1.3051
Previous Weekly High	1.3167
Previous Weekly Low	1.2896
Previous Monthly High	1.2986
Previous Monthly Low	1.2769
Daily Fibonacci 38.2%	1.3119
Daily Fibonacci 61.8%	1.3161
Daily Pivot Point S1	1.3071
Daily Pivot Point S2	1.2971
Daily Pivot Point S3	1.2892
Daily Pivot Point R1	1.325
Daily Pivot Point R2	1.333
Daily Pivot Point R3	1.343

Author

Flavio Tosti

Independent Analyst

EUR/USD appears supported by the 200-day SMA, for now

Following an early pullback to multi-week lows near 1.1670, EUR/USD now manages to reclaim the 1.1700 region as the NA session draws to a close on Monday. The steep retracement in spot follows the equally strong move higher in the US Dollar, as investors continue to assess the geopolitical landscape in the wake of the US and Israel attacks on Iran.

GBP/USD hits new yearly lows near 1.3300

GBP/USD adds to the recent bearish tone, approaching to the key 1.3300 support to reach fresh YTD troughs against the backdrop of the robust performance of the US Dollar. Indeed, Cable’s decline comes amid the firm demand for the safe-haven space in the wake of the US and Israel attacks to Iran.

Gold clings to gains as US-Iran conflict continues to underpin safe-haven assets

Gold retains positive bias for the fifth consecutive day on Tuesday as rising geopolitical tensions in the Middle East continue to underpin safe-haven assets. However, a bullish US Dollar could keep the bullion below its highest level since late January, set on Monday, warranting caution before positioning for any further appreciation.