The GBP/USD currency pair, currently trading at 1.27425, rebounds slightly after reaching a low point in the past month but then declines again from the 10-day moving average. The expectation, according to @nehcap, is for the pair to continue declining.
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- GBP/USD fades bounces off one-month low, retreats from 10-DMA.
The pair currently trades last at 1.27425.
The previous day high was 1.2789 while the previous day low was 1.2713. The daily 38.2% Fib levels comes at 1.276, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.2742, expected to provide support.
GBP/USD stays depressed near 1.2745 as it fades the previous day’s corrective bounce off the lowest level in a month amid early Wednesday in Asia. In doing so, the Cable pair portrays the market’s cautious mood ahead of the top-tier China data. However, fears emanating from China’s banking and realty sector join the rating downgrade from Moody’s and Fitch to spoil the sentiment and fuel the US Dollar.
Also read: GBP/USD trips down on woes about global economic growth, also on a solid USD
While portraying the mood, Wall Street closed in the red with major losses among the bank stocks whereas the US 10-year Treasury bond yields dropped to the weekly low of around 3.98% before bouncing off 4.03% by the day’s end.
Technically, bearish MACD signals and the sustained trading below the 10-DMA hurdle, around 1.2770 by the press time, keep the GBP/USD sellers hopeful.
Adding strength to the downside bias is the quote’s previous fall below the rising trend line stretched from early March and June, respectively near 1.2820 and 1.2955.
That said, the 38.2% Fibonacci retracement level of the quote’s March–July upside, near 1.2630, acts as immediate support for the Pound Sterling. Following that, the bears will have more say in directing the GBP/USD prices.
Trend: Further downside expected
Technical Levels: Supports and Resistances
GBPUSD currently trading at 1.274 at the time of writing. Pair opened at 1.2784 and is trading with a change of -0.34% % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 1.274 |
| 1 | Today Daily Change | -0.0044 |
| 2 | Today Daily Change % | -0.34% |
| 3 | Today daily open | 1.2784 |
The pair is trading below its 20 Daily moving average @ 1.289, below its 50 Daily moving average @ 1.2744 , above its 100 Daily moving average @ 1.2591 and above its 200 Daily moving average @ 1.2324
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 1.2890 |
| 1 | Daily SMA50 | 1.2744 |
| 2 | Daily SMA100 | 1.2591 |
| 3 | Daily SMA200 | 1.2324 |
The previous day high was 1.2789 while the previous day low was 1.2713. The daily 38.2% Fib levels comes at 1.276, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.2742, expected to provide support.
Note the levels of interest below:
- Pivot support is noted at 1.2735, 1.2686, 1.2658
- Pivot resistance is noted at 1.2811, 1.2839, 1.2888
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 1.2789 |
| Previous Daily Low | 1.2713 |
| Previous Weekly High | 1.2873 |
| Previous Weekly Low | 1.2621 |
| Previous Monthly High | 1.3142 |
| Previous Monthly Low | 1.2659 |
| Daily Fibonacci 38.2% | 1.2760 |
| Daily Fibonacci 61.8% | 1.2742 |
| Daily Pivot Point S1 | 1.2735 |
| Daily Pivot Point S2 | 1.2686 |
| Daily Pivot Point S3 | 1.2658 |
| Daily Pivot Point R1 | 1.2811 |
| Daily Pivot Point R2 | 1.2839 |
| Daily Pivot Point R3 | 1.2888 |
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