#GBPUSD @ 1.24300 takes offers to refresh intraday low, extends previous day’s pullback from three-week high., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• GBP/USD takes offers to refresh intraday low, extends previous day’s pullback from three-week high.
• Steady RSI, downside break of 50-DMA join U-turn from key horizontal resistance zone to keep Cable bears hopeful.
• Sluggish MACD, 11-week-old ascending support line puts a floor under Pound Sterling price.

The pair currently trades last at 1.24300.

The previous day high was 1.2545 while the previous day low was 1.2442. The daily 38.2% Fib levels comes at 1.2481, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.2505, expected to provide resistance.

GBP/USD remains on the back foot around 1.2430 as it stretches the post-NFP reversal from a three-week high during the early hours of Monday’s Asian session. In doing so, the Cable pair drops below the 50-DMA support while extending the previous day’s U-turn from a horizontal resistance area comprising multiple levels marked since mid-April.

Not only the U-turn from the key resistance zone and a downside break of the 50-DMA but the steady RSI (14) line also suggest further downside of the Pound Sterling. With this, the quote is all set to prod the 1.2400 round figure.

However, the looming bull cross on the MACD indicator highlights the importance of an upward-sloping support line from mid-May, close to 1.2360 by the press time.

Even if the GBP/USD price drops below 1.2360, the 100-DMA support of around 1.2300 could act as the last defense of the bulls.

On the contrary, the 50-DMA and the aforementioned resistance area, respectively near 1.2460 and 1.2540-50, cap the GBP/USD pair’s recovery.

Also acting as an upside filter is the 1.2600 round figure, a break of which could quickly propel the Cable pair towards the yearly high marked in May near 1.2680.

Trend: Further downside expected

Technical Levels: Supports and Resistances

GBPUSD currently trading at 1.2429 at the time of writing. Pair opened at 1.245 and is trading with a change of -0.17% % .

The pair is trading below its 20 Daily moving average @ 1.2463, below its 50 Daily moving average @ 1.2453 , above its 100 Daily moving average @ 1.23 and above its 200 Daily moving average @ 1.1994

The previous day high was 1.2545 while the previous day low was 1.2442. The daily 38.2% Fib levels comes at 1.2481, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.2505, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 1.2413, 1.2376, 1.2309
• Pivot resistance is noted at 1.2516, 1.2582, 1.2619

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