GBP/USD Price Analysis: Recovery battles previous support below 1.2250

GBP/USD grinds higher around intraday top, keeps bounce off two-year low.
One-week-old previous support tests recovery moves amid bullish MACD signals.
Steady RSI, short-term descending trend line challenge the rebound.
May 2020 lows to lure bears during further downside.

Anil Panchal FXStreet

GBP/USD struggles to extend corrective pullback from multi-month low as a short-term resistance, previous support line, tests buyers around 1.2215 during early Friday morning in Europe.

Considering the recently bullish MACD signals, as well as the US dollar’s broad pullback, the cable pair’s latest rebound is likely to persist, unless any fundamental disappointments recall bears.

Even if the cable pair crosses the 1.2220 immediate hurdle, a downward sloping resistance line from May 04, near 1.2320, as well as the 200-HMA level of 1.2375, will challenge the GBP/USD buyers.

Alternatively, pullback moves may initially aim for the latest multi-month low near 1.2165 ahead of testing the 1.2100 round figure.

However, the GBP/USD pair’s weakness past 1.2100 will aim to the May 2020 bottom surrounding 1.2075 and the 2000 psychological magnet lure sellers.

GBP/USD: Hourly chart

Trend: Bearish

Additional important levels

Overview
Today last price	1.2217
Today Daily Change	0.0017
Today Daily Change %	0.14%
Today daily open	1.22

Trends
Daily SMA20	1.2618
Daily SMA50	1.2915
Daily SMA100	1.3221
Daily SMA200	1.3405

Levels
Previous Daily High	1.2256
Previous Daily Low	1.2165
Previous Weekly High	1.2638
Previous Weekly Low	1.2276
Previous Monthly High	1.3167
Previous Monthly Low	1.2411
Daily Fibonacci 38.2%	1.22
Daily Fibonacci 61.8%	1.2221
Daily Pivot Point S1	1.2158
Daily Pivot Point S2	1.2116
Daily Pivot Point S3	1.2068
Daily Pivot Point R1	1.2249
Daily Pivot Point R2	1.2298
Daily Pivot Point R3	1.2339

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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