GBP/USD dipped below 1.29 after the BOE surprised by cutting rates to counter the coronavirus crisis. Wednesday’s four-hour chart is painting a mixed picture, as FXStreet’s analyst Yohay Elam notes.
“Momentum on the four-hour chart has turned negative, but the cable managed to recapture the 50 and 100 Simple Moving Averages and trades only marginally below the 200 SMA. Overall, the picture is mixed.”
“Support awaits at the daily low of 1.2827, followed by 1.2775 which was a low point in early March.”
“Initial resistance is at 1.2950, which has played a role in both directions in recent days. It is followed by 1.3020, which held GBP/USD down in late February.”