GBP/USD technical analysis: 100-HMA caps the upside, 23.6% Fibo. offers immediate support

Fewer moves between important levels.
Gradually rising RSI portray strength.

Anil Panchal FXStreet

Sustained trading beyond 23.6% Fibonacci retracement of latest downtick helps the GBP/USD pair to currently trading around 1.2665 while heading into the London open on Friday.

100-hour simple moving average (100-HMA) limits immediate advances at 1.2695 – 1.2700, a break of which can propel prices to 50% Fibonacci retracement of 1.2710 and then to 1.2735 including 61.8% Fibonacci retracement.

In a case where prices keep rallying above 1.2735, buyers may target 1.2800 round-figure.

On the contrary, a downside break of 1.2650, comprising 23.6% Fibonacci retracement, can drag the quote to 1.2625 and then to recent low surrounding 1.2600.

It is worth mentioning that the 14-bar relative strength index (RSI) is heading up which in turn signal strength in price momentum towards the north.

GBP/USD hourly chart

Trend: Pullback expected

1. R3 1.2772
2. R2 1.2728
3. R1 1.2693
PP 1.2649
1. S1 1.2613
2. S2 1.2569
3. S3 1.2534

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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