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GBP/USD Technical Analysis: 21-day EMA, June month high restrict immediate declines

  • GBP/USD sellers catch a breath around the monthly low.
  • Bearish MACD signal further declines.
  • 61.8% Fibonacci retracement, 200-day EMA become the key during further downside.

Despite declining to the lowest since October 17 on Friday, GBP/USD stops additional south-run around short-term key supports while trading near 1.2793 amid the initial Asian session on Monday.

Read for recent fundaments: Moody’s: UK outlook cut to negative on policy 'paralysis – Cable slips below 1.2800

An area comprising 21-day Exponential Moving Average (EMA) and June month high around 1.2790/85 becomes important for pair sellers while targeting 61.8% Fibonacci retracement of May-September downside, at 1.2710.

While bearish signals from 12-bar Moving Average Convergence and Divergence (MACD) indicate further weakness of the quote, a 200-day EMA level of 1.2664 could challenge sellers past-1.2710.

On the upside, 1.2860 and monthly high close to 1.2980 can entertain short-term buyers ahead of challenging them with 1.3000 round-figure and October top of 1.3013.

Though, May month high near 1.3180 will be on bull’s radar during pair’s sustained rise beyond 1.3013.

GBP/USD daily chart

Trend: pullback expected

additional important levels

Overview
Today last price1.2791
Today Daily Change8 pips
Today Daily Change %0.06%
Today daily open1.2783
 
Trends
Daily SMA201.2862
Daily SMA501.2555
Daily SMA1001.2453
Daily SMA2001.2705
 
Levels
Previous Daily High1.2826
Previous Daily Low1.2769
Previous Weekly High1.2943
Previous Weekly Low1.2769
Previous Monthly High1.3013
Previous Monthly Low1.2194
Daily Fibonacci 38.2%1.279
Daily Fibonacci 61.8%1.2804
Daily Pivot Point S11.276
Daily Pivot Point S21.2736
Daily Pivot Point S31.2703
Daily Pivot Point R11.2816
Daily Pivot Point R21.2849
Daily Pivot Point R31.2873

Author

Anil Panchal

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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