untitled design

GBP/USD Price Analysis: USD falls for 4 consecutive days on rising US yields

  • GBP/USD falls to 1.2458 and puts the 200-day moving average at 1.2424 in focus.
  • Short-term outlook shows the pair targeting the week’s low at 1.2455, with a break potentially aimed at the S2 daily pivot at 1.2413.
  • Recovering the 1.2500 level could signal a bullish reversal, with next resistance at the 200-hour moving average at 1.2593.

The British Pound (GBP) prolonged its free fall for four consecutive days against the US dollar (USD) due to high US bond yields that support the Dollar. GBP/USD is trading at 1.2458 after hitting a daily high of 1.2514, as sellers eye technical support to extend their gains.

GBP/USD Price Analysis: Technical Perspective

After breaking a bullish support trend line drawn around the May lows, the pair fell below the psychological figure of 1.2500, which exposed the 200-day moving average (AMD) at 1.2424. Breaking the latter would change the pair’s bias to neutral to the downside and expose the May 25 low at 1.2308, a crucial support zone. This could break the bullish market structure and pave the way for further losses.

In the short term, the hourly chart of GPB/USD shows an attempt by buyers to reclaim the 1.2500 area. With buyers failing, the pair sank towards session lows, below Friday’s central pivot point, with an eye on the week’s low at 1.2455. Breaking this last point could expose the daily S2 pivot at 1.2413, followed by 1.2400. On the contrary, if traders reclaim 1.2500, it would open the door for further rises, with an eye on the 200 hourly moving average (HMA) at 1.2593 before challenging 1.2600.

GBP/USD Price Action – Hourly Chart



Latest price today 1.2463
Today Daily Change -0.0009
Today’s daily variation -0.07
Today’s daily opening 1.2472
daily SMA20 1.2655
daily SMA50 1.2766
SMA100 daily 1.2655
SMA200 daily 1.2426
Previous daily high 1.2509
Previous daily low 1.2446
Previous weekly high 1.2746
Previous weekly low 1.2563
Previous Monthly High 1.2841
Previous monthly low 1.2548
Daily Fibonacci 38.2 1,247
Fibonacci 61.8% daily 1.2485
Daily Pivot Point S1 1.2442
Daily Pivot Point S2 1.2413
Daily Pivot Point S3 1.2379
Daily Pivot Point R1 1.2505
Daily Pivot Point R2 1.2539
Daily Pivot Point R3 1.2568

Source: Fx Street

You may also like

Get the latest

Stay Informed: Get the Latest Updates and Insights


Most popular