GBP/USD Technical Analysis: Bounces off 3-week-old rising trendline

GBP/USD stays below 100-bar SMA during its gradual decline since the month’s start.
Weak RSI conditions favor the latest pullback, 1.3000 becomes the key resistance.

Anil Panchal FXStreet

Although its first downtick below 100-bar SMA in over a month signals the GBP/USD pair’s weakness, prices recently bounced off short-term support line while taking the bids to 1.2860 during early Asian session on Thursday.

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Buyers now await a clear break above 100-bar Simple Moving Average (SMA) level of 1.2885 to question the current week high near 1.2940 ahead of aiming monthly top close to 1.2975.

It should, however, be noted that weak conditions of the 14-bar Relative Strength Index (RSI) also favor the pair’s recent pullback. Though, 1.3000 psychological magnet and the October month high around 1.3015 seem to be tough resistance on the upside.

Alternatively, pair’s declines below 1.2845 support line will trigger fresh downpour to 1.2800 while 1.2750 and October 11 high near 1.2710 could keep sellers happy afterward.

GBP/USD 4-hour chart

Trend: pullback expected

additional important levels

Overview
Today last price	1.2857
Today Daily Change	-30 pips
Today Daily Change %	-0.23%
Today daily open	1.2887

Trends
Daily SMA20	1.2804
Daily SMA50	1.2517
Daily SMA100	1.2449
Daily SMA200	1.2709

Levels
Previous Daily High	1.2918
Previous Daily Low	1.2859
Previous Weekly High	1.2976
Previous Weekly Low	1.2804
Previous Monthly High	1.3013
Previous Monthly Low	1.2194
Daily Fibonacci 38.2%	1.2895
Daily Fibonacci 61.8%	1.2881
Daily Pivot Point S1	1.2858
Daily Pivot Point S2	1.2829
Daily Pivot Point S3	1.2799
Daily Pivot Point R1	1.2917
Daily Pivot Point R2	1.2947
Daily Pivot Point R3	1.2975

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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