#GBPUSD @ 1.13354 takes offers to renew multi-day low, pokes four-month-old support line., @nehcap view: Limited downside expected (Pivot Orderbook analysis)
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- GBP/USD takes offers to renew multi-day low, pokes four-month-old support line.
- MACD signals favor sellers targeting 61.8%, 78.6% FE.
- Two-month-old horizontal resistance challenges recovery moves.
The pair currently trades last at 1.13354.
The previous day high was 1.1461 while the previous day low was 1.1357. The daily 38.2% Fib levels comes at 1.1397, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.1421, expected to provide resistance.
GBP/USD remains pressured around the lowest level since 1985 as bears flirt with the short-term support line near 1.1310 heading into Wednesday’s London open.
In addition to the aforementioned support line, close to 1.1310, the 1.1300 threshold and the oversold RSI (14) also challenge the GBP/USD bears around the multi-year low.
However, the MACD signals and the Cable pair’s successful U-turn from the two-month-long horizontal hurdle, around 1.1750 by the press time, keep the pair sellers hopeful.
That said, the quote’s further downside hinges on its ability to conquer the nearby resistance support, as well as break the 1.1300 round figure.
Following that, the 61.8% and 78.6% Fibonacci Expansion (FE) of the GBP/USD pair’s August 17 to September 13 moves, respectively near 1.1280 and 1.1165, will be in focus.
Alternatively, the corrective bounce may aim for 1.1450 and 1.1600 resistances before challenging the aforementioned horizontal hurdle surrounding 1.1750.
If at all the GBP/USD buyers keep reins past 1.1750, the late August swing high near 1.1900 and the 1.2000 psychological magnet will be in focus.
Overall, GBP/USD remains on the bear’s radar but the downside appears limited.
Trend: Limited downside expected
Technical Levels: Supports and Resistances
GBPUSD currently trading at 1.1335 at the time of writing. Pair opened at 1.1381 and is trading with a change of -0.40% % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 1.1335 |
| 1 | Today Daily Change | -0.0046 |
| 2 | Today Daily Change % | -0.40% |
| 3 | Today daily open | 1.1381 |
The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1.1574, 50 SMA 1.1852, 100 SMA @ 1.2085 and 200 SMA @ 1.2686.
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 1.1574 |
| 1 | Daily SMA50 | 1.1852 |
| 2 | Daily SMA100 | 1.2085 |
| 3 | Daily SMA200 | 1.2686 |
The previous day high was 1.1461 while the previous day low was 1.1357. The daily 38.2% Fib levels comes at 1.1397, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.1421, expected to provide resistance.
Note the levels of interest below:
- Pivot support is noted at 1.1338, 1.1296, 1.1234
- Pivot resistance is noted at 1.1442, 1.1504, 1.1546
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 1.1461 |
| Previous Daily Low | 1.1357 |
| Previous Weekly High | 1.1738 |
| Previous Weekly Low | 1.1351 |
| Previous Monthly High | 1.2294 |
| Previous Monthly Low | 1.1599 |
| Daily Fibonacci 38.2% | 1.1397 |
| Daily Fibonacci 61.8% | 1.1421 |
| Daily Pivot Point S1 | 1.1338 |
| Daily Pivot Point S2 | 1.1296 |
| Daily Pivot Point S3 | 1.1234 |
| Daily Pivot Point R1 | 1.1442 |
| Daily Pivot Point R2 | 1.1504 |
| Daily Pivot Point R3 | 1.1546 |
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