- GBP/USD finds decent support near mid-1.3000s and regains positive traction.
- The technical set-up might have already shifted in favour of bullish traders.
The GBP/USD pair stalled its recent pullback from a resistance marked by 61.8% Fibonacci level of the 1.3515-1.2905 downfall and managed to find decent support near mid-1.3000s. The mentioned region nears the 23.6% Fibo. level support and should act as a key pivotal point for short-term traders.
The pair regained positive traction amid some renewed US dollar selling bias and got an additional boost following the release of stronger-than-expected UK Services PMI. The momentum lifted the pair further beyond 200-hour SMA, albeit failed to make it through 100-hour SMA resistance near the 1.3175 region.
This is closely followed by the 1.3200 handle (50% Fibo.), which if cleared decisively might be seen as a trigger for bullish traders and set the stage for a move back towards mid-1.3200s. The momentum could further get extended towards the recent swing high resistance near the 1.3285 region.
Meanwhile, technical indicators on the daily charts have managed to hold in the bullish territory and again started gaining positive momentum on hourly charts. The set-up support prospects for a further near-term appreciating move, though Brexit uncertainty warrant some caution for aggressive traders.
On the flip side, the 1.3100 round-figure mark now seems to act as immediate support ahead of the 1.3075 horizontal zone and the 1.3050 region. Failure to defend the mentioned support levels might turn the pair vulnerable to accelerate the slide further towards testing sub-1.30 levels.
GBP/USD 1-hourly chart
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