GBP/USD Price Analysis: Corrects further from multi-week tops, slides to mid-1.3900s
The GBP/USD pair refreshed daily lows, around mid-1.3900s heading into the North American session and has now eroded a part of the previous day's strong gains.
A turnaround in the global risk sentiment, along with a modest uptick in the US Treasury bond yields allowed the US dollar to stage a modest bounce from six-week lows. This, in turn, was seen as a key factor exerting some downward pressure on the GBP/USD pair.
From a technical perspective, overbought RSI (14) on hourly charts seemed to be the only factor that failed to assist bulls to find acceptance above the 1.4000 mark. The GBP/USD pair, for now, seems to have snapped six consecutive days of the winning streak.
GBP/USD analysis: Reaches above 1.4000
In the aftermath of passing the 1.4000 mark, the GBP/USD found resistance in the 1.4010 level. On Tuesday, a retracement back down was taking place. It was spotted at mid-day that the 1.3950 mark was providing support.
If the 1.3950 provides enough support for a renewal of the surge, the pair should test the 1.4000 mark, the mentioned 1.4010 level and afterwards the 1.4050 level. Note that there is no technical resistance as high as the weekly R3 simple pivot point at 1.4084.
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