• Fri. Feb 23rd, 2024

GBP/USD Price Analysis: Remains under pressure below the mid-1.2000s, oversold RSI condition eyed

  • GBP/USD loses momentum and holds below the mid-1.2000s on Tuesday.
  • The pair holds below the 50- and 100-hour EMAs with an oversold RSI condition.
  • The immediate resistance level is seen at 1.2107; 1.2050 acts as an initial support level.

The GBP/USD pair extends its downside and trades in negative territory for the fifth consecutive week during the early European trading session on Tuesday. The sell-off of the pair is supported by the firmer US Dollar (USD) and the hawkish stance of the Federal Reserve (Fed). GBP/USD currently trades around 1.2066, losing 0.16% on the day.

Technically, GBP/USD holds below the 50- and 100-hour Exponential Moving Averages (EMAs) with a downward slope on the one-hour chart, which means further downside looks favorable.

The immediate resistance level for GBP/USD will emerge near the middle line of the Bollinger Band at 1.2107. The additional upside filter to watch is 1.2145 (the 50-hour EMA). The key barrier for the pair is located near the confluence of the upper boundary of the Bollinger Band and the 100-hour EMA at 1.2170. Further north, a psychological round mark at 1.2200 will be the next stop.

On the flip side, any decisive follow-through selling below the lower limit of the Bollinger Band at 1.2050 will see a drop to 1.2010 (a low of March 15). The next contention level is seen at 1.1965 (a low of February 16) en route to 1.1925 (a low of March 2).

It’s worth noting that the Relative Strength Index (RSI) holds in bearish territory below 50. However, the oversold RSI condition indicates that further consolidation cannot be ruled out before positioning for any near-term GBP/USD depreciation.

GBP/USD one-hour chart

 

GBP/USD

OVERVIEW
Today last price 1.2065
Today Daily Change -0.0022
Today Daily Change % -0.18
Today daily open 1.2087
TRENDS
Daily SMA20 1.2347
Daily SMA50 1.2574
Daily SMA100 1.2619
Daily SMA200 1.2436
LEVELS
Previous Daily High 1.222
Previous Daily Low 1.2086
Previous Weekly High 1.2272
Previous Weekly Low 1.2111
Previous Monthly High 1.2713
Previous Monthly Low 1.2111
Daily Fibonacci 38.2% 1.2137
Daily Fibonacci 61.8% 1.2169
Daily Pivot Point S1 1.2042
Daily Pivot Point S2 1.1998
Daily Pivot Point S3 1.1909
Daily Pivot Point R1 1.2176
Daily Pivot Point R2 1.2265
Daily Pivot Point R3 1.2309

 

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