GBP/USD Price Analysis: Battles two-week-old hurdle below 1.3800
|
- GBP/USD seesaws in a choppy range after easing from 1.3812.
- Bullish MACD, upbeat RSI and sustained trading beyond immediate horizontal support favor bulls.
- 100-SMA adds to the upside filters, March low offers extra challenge for bears.
Having snapped a two-day losing streak the previous day, GBP/USD cools down to 1.3785, staying inside a 10-pip range, during Thursday’s Asian session. In doing so, the quote justifies pullback from a downward sloping trend line from March 18.
However, strong MACD and RSI joins the cable’s sustained trading above a short-term horizontal area around 1.3730 keeps buyer hopeful.
It should be noted that a clear break of the immediate resistance line, at 1.3800, needs to cross the 100-SMA level of 1.3842 to convince GBP/USD bulls.
Meanwhile, a downside break of 1.3730 will have the previous month’s low around 1.3670 as an extra hope of a bounce.
Overall, GBP/USD is consolidating losses from late February but the road to recovery is bumpy.
GBP/USD four-hour chart
Trend: Further recovery expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.