• GBP/USD extends pullback from one-week high as NIP Bill passes the UK’s House of Commons vote.
  • Convergence of 50-SMA, two-week-old ascending trend line restricts immediate downside.
  • RSI retreat, pullback from 100-SMA adds strength to the bearish bias.
  • 200-SMA adds to the upside filters, sellers can aim for fresh monthly low.

GBP/USD remains pressured around 1.2260 as bears jostle with the short-term key supports following the fresh Brexit news during late Monday, early Tuesday for Asia.

That said, the UK’s House of Commons had enough votes to pass the controversial Northern Ireland Protocol (NIP) even as the European Union (EU) warned of trade wars if the British policymakers progress with the actions.

Read: Northern Ireland Protocol (NIP) Bill passes UK House of Commons vote

Technically, the cable pair keeps the previous day’s pullback from the 100-SMA towards challenging a convergence of the 50-SMA and a fortnight-long support line, near 1.2255 by the press time.

Given the RSI (14) retreats and the failure to cross key SMA, not to forget Brexit news, the GBP/USD prices are likely to break the immediate support.

Following that, the 1.2200 round figure and 23.6% Fibonacci retracement (Fibo.) of May 27 to June 14 downside, near 1.2108, could probe the bears on their way to refresh the monthly low, currently around 1.1935.

Meanwhile, the 100-SMA level near 1.2310 guards the immediate recovery of the GBP/USD pair ahead of the 61.8% Fibonacci retracement level near 1.2390.

In a case where the Cable pair rises past 1.2390, the 200-SMA level of 1.2400 could act as the last defense of the bears.

GBP/USD: Four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price 1.2262
Today Daily Change -0.0007
Today Daily Change % -0.06%
Today daily open 1.2269
 
Trends
Daily SMA20 1.2375
Daily SMA50 1.2482
Daily SMA100 1.2872
Daily SMA200 1.3191
 
Levels
Previous Daily High 1.232
Previous Daily Low 1.2241
Previous Weekly High 1.2324
Previous Weekly Low 1.2161
Previous Monthly High 1.2667
Previous Monthly Low 1.2155
Daily Fibonacci 38.2% 1.229
Daily Fibonacci 61.8% 1.2271
Daily Pivot Point S1 1.2233
Daily Pivot Point S2 1.2197
Daily Pivot Point S3 1.2154
Daily Pivot Point R1 1.2313
Daily Pivot Point R2 1.2357
Daily Pivot Point R3 1.2393

 

 

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