GBP/USD pair gained some ground in the early US session as the pair was supported by gains in European stocks. The cable also found support above 1.4300 levels as the focus shifted towards two day summit that will decide…
GBP/USD pair gained some ground in the early US session as the pair was supported by gains in European stocks. The cable also found support above 1.4300 levels as the focus shifted towards two day summit that will decide the fate of Britain's future in European Union.
Technically the pair is capped by downward trend line in 4 hours chart. The RSI in the 4 hour chart is indicating downwards at 48, meanwhile the 55, 30 and 20 MA's are pointing strong bearish momentum towards lower side. Overall the technical indicators are depicting further downtrend for this pair.
To the upside, the strong resistance can be seen at 1.4400, a break above this level would expose the cable to next resistance level at 1.4449.
To the downside immediate support can be seen at 1.4328, a break below at this level will open the door towards next level at 1.4309.
Recommendation: Go short around 1.4380, targets 1.4300, 1.4220, SL 1.4450
