GBP/USD technical analysis: Overbought RSI signal further declines to 23.6% Fibo, 200-hour EMA

GBP/USD refrains from extending Tuesday’s run-up amid overbought RSI.
23.6% Fibonacci retracement and 200-hour EMA can question sellers.

Anil Panchal FXStreet

The GBP/USD pair’s run-up to two-month high failed to prevail for long as the quote declines to 1.2490 ahead of the UK session open on Wednesday.

While showing the momentum, 14-bar relative strength index (RSI) flashes overbought signals, which in turn indicate brighter chances of pair’s further declines to 23.6% Fibonacci retracement level of current month upside, at 1.2393.

The 200-hour exponential moving average (EMA), at 1.2376 now, acts as strong downside support below 1.2393, which if ignored could recall 50% Fibonacci retracement area around 1.2230.

Alternatively, recent highs close to 1.2530 and a two-week-old rising trend-line near 1.2565 could please buyers during further advances.

GBP/USD hourly chart

Trend: pullback expected

additional important levels

Overview
Today last price	1.2492
Today Daily Change	-7 pips
Today Daily Change %	-0.06%
Today daily open	1.2499

Trends
Daily SMA20	1.2277
Daily SMA50	1.2279
Daily SMA100	1.2507
Daily SMA200	1.2741

Levels
Previous Daily High	1.2528
Previous Daily Low	1.2393
Previous Weekly High	1.2508
Previous Weekly Low	1.2234
Previous Monthly High	1.231
Previous Monthly Low	1.2015
Daily Fibonacci 38.2%	1.2476
Daily Fibonacci 61.8%	1.2444
Daily Pivot Point S1	1.2419
Daily Pivot Point S2	1.2338
Daily Pivot Point S3	1.2283
Daily Pivot Point R1	1.2554
Daily Pivot Point R2	1.2609
Daily Pivot Point R3	1.269

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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