#GBPUSD @ 1.23510 The Cable has turned sideways ahead of the interest rate decision by the Fed. (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

• The Cable has turned sideways ahead of the interest rate decision by the Fed.
• A gradual corrective move after a symmetrical triangle breakout offers a fresh buying opportunity.
• The RSI (14) needs to climb in the bullish range for a fresh rally.

The pair currently trades last at 1.23510.

The previous day high was 1.2444 while the previous day low was 1.2248. The daily 38.2% Fib levels comes at 1.2369, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.2323, expected to provide support.

The GBP/USD pair is displaying a lackluster performance in the Asian session as investors are awaiting the interest rate decision by the Federal Reserve (Fed) for fresh cues. The Cable is hovering around 1.2350 after correcting from a fresh six-month high at 1.2444.

Meanwhile, the US Dollar Index (DXY) is auctioning in a balanced profile as the market mood has turned quiet ahead of Fed’s policy. A slowdown in inflation consecutively for two months has cemented the odds of a lower rate hike by Fed chair Jerome Powell.

The GBP/USD pair has corrected gradually to near the 20-period Exponential Moving Average (EMA) at around 1.2340. Earlier, the Cable displayed a breakout of the Symmetrical Triangle chart pattern, which indicates volatility expansion. Therefore, a gradual correction in an upside trend presents a fresh buying opportunity to the market participants.

Meanwhile, the Relative Strength Index (RSI) (14) has slipped into the 40.00-60.00 range, which indicates that bullish momentum is inactive.

For a confident rebound, the Cable needs to surpass Wednesday’s high of around 1.2379, which will drive the asset toward Tuesday’s high at 1.2444, followed by the psychological resistance at 1.2500.

On the flip side, a drop below Friday’s low of around 1.2200 will drag the asset toward December 7 low at 1.2107. A breakdown of the latter will expose the major for more downside toward November 15 high at 1.2029.

Technical Levels: Supports and Resistances

GBPUSD currently trading at 1.2353 at the time of writing. Pair opened at 1.2359 and is trading with a change of -0.05 % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 1.209, 50 SMA 1.1668, 100 SMA @ 1.1673 and 200 SMA @ 1.2113.

The previous day high was 1.2444 while the previous day low was 1.2248. The daily 38.2% Fib levels comes at 1.2369, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.2323, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.2256, 1.2154, 1.206
• Pivot resistance is noted at 1.2453, 1.2546, 1.2649

[/s2If]
Join Our Telegram Group