GBP/USD technical analysis: 21-DMA limits immediate declines


  • Declines following Doji drags the GBP/USD pair to 21-DMA.
  • Upside capped by 61.8% Fibonacci retracement, June 18 top may question sellers during the plunge.

GBP/USD portrays the aftermath of declines based on Monday's Doji candle while taking the rounds to 1.2670, near 21-DMA, while heading into the UK open on Wednesday.

Should sellers refrain from respecting the near-term moving average (MA), June 18 high near 1.2566 may act as an intermediate halt during the plunge towards the month’s bottom around 1.2506.

While 14-day relative strength index (RSI) is more likely to limit the pair’s declines past-1.2506, failure to do so highlights December 2018 low of 1.2480 and the year-to-date trough close to 1.2438 may lure the bears.

On the contrary, 61.8% Fibonacci Retracement of January to March 2019 upside, at 1.2800, is likely a strong resistance for buyers to conquer in order to aim for April month low near 1.2865.

If bulls dominate past-1.2865, 50% Fibonacci retracement near 1.2909 and 200-day moving average (DMA) at 1.2923 could flash on their radars.

GBP/USD daily chart

Trend: Pullback expecte

Additional important levels

Overview
Today last price 1.2668
Today Daily Change -24 pips
Today Daily Change % -0.19%
Today daily open 1.2692
 
Trends
Daily SMA20 1.2667
Daily SMA50 1.2808
Daily SMA100 1.2952
Daily SMA200 1.2925
Levels
Previous Daily High 1.2784
Previous Daily Low 1.2671
Previous Weekly High 1.275
Previous Weekly Low 1.2506
Previous Monthly High 1.3178
Previous Monthly Low 1.2559
Daily Fibonacci 38.2% 1.2714
Daily Fibonacci 61.8% 1.2741
Daily Pivot Point S1 1.2647
Daily Pivot Point S2 1.2602
Daily Pivot Point S3 1.2533
Daily Pivot Point R1 1.276
Daily Pivot Point R2 1.2829
Daily Pivot Point R3 1.2874

 

 

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