GBP/USD technical analysis: Plummets to fresh 3-month lows, bears might now target 1.2800 handle

Haresh Menghani FXStreet

• Bearish pressure around the British Pound remained unabated on Wednesday, with the GBP/USD pair tumbling to near three-month lows in the last hour.

• Given the overnight slide below the very important 200-day SMA, a follow-through weakness the 1.2900 handle was seen as a key trigger for bearish traders.

The mentioned handle nears the 50% Fibonacci retracement level of the 1.2438-1.3385 recent up-move and might have prompted some fresh technical selling, paving the way for a further near-term depreciating move.

Meanwhile, technical indicators are already pointing to highly oversold conditions on hourly charts and hence, any subsequent slide might find some support near the 61.8% Fibonacci level around the 1.2800 handle.

However, oscillators on the daily chart are still far from being in the oversold territory and hence, any attempted bounce might still be seen as a selling opportunity near the mentioned support break-point around the 1.2900 mark.

GBP/USD daily chart

GBP/USD

Overview
Today last price	1.284
Today Daily Change	-0.0066
Today Daily Change %	-0.51
Today daily open	1.2906

Trends
Daily SMA20	1.2996
Daily SMA50	1.308
Daily SMA100	1.3013
Daily SMA200	1.2959

Levels
Previous Daily High	1.2972
Previous Daily Low	1.2903
Previous Weekly High	1.3171
Previous Weekly Low	1.2967
Previous Monthly High	1.3196
Previous Monthly Low	1.2865
Daily Fibonacci 38.2%	1.2929
Daily Fibonacci 61.8%	1.2946
Daily Pivot Point S1	1.2882
Daily Pivot Point S2	1.2858
Daily Pivot Point S3	1.2813
Daily Pivot Point R1	1.2951
Daily Pivot Point R2	1.2996
Daily Pivot Point R3	1.302

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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