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  • GBP/USD traders in a 30-pip range amid oversold RSI levels.
  • 4H 50/100 MA confluence offers strong upside resistance.

Despite bouncing off near-term horizontal support around 1.2560, the GBP/USD pair’s upside remains confined by 21-bar moving average (4H 21MA) as it takes the rounds to 1.2580 ahead of the UK open on Friday.

Even if the 1.2560 to 1.2592 area limits the pair’s momentum, oversold conditions of 14-bar relative strength index (RSI) indicate brighter chances of its upside towards 1.2645/50 key resistance confluence including 50% Fibonacci retracement of late-June upside, coupled with 4H 50 and 4H 100 moving averages (MA).

Alternatively, pair’s break of 1.2560 support-line can fetch it to June month low surrounding 1.2506 and then to 1.2500 round-figure.

In a case where prices slip beneath 1.2500, late-2018 bottom surrounding 1.2480 and the early 2019 trough around 1.2430 can please the bears.

GBP/USD 4-hour chart

Trend: Sideways