• The pair met with some fresh supply on Tuesday and eroded a major part of the previous session’s uptick to the 1.3120-30 supply zone, marking a five-week-old descending trend-line resistance.
• Any subsequent slide might continue to find decent support near the 1.3050-40 region, representing the lower end of a short-term ascending trend-channel extending from Dec. 2018 daily closing low.
• This is closely followed by the key 1.30 psychological mark and strong horizontal support near the 1.2975-70 region, held since late-Feb. and also coinciding with the very important 200-day SMA.
• A convincing break through the trend-channel, leading to a subsequent weakness below the mentioned support will mark a bearish breakdown and open room for a further near-term depreciating move.
• Alternatively, a sustained move beyond the 1.3130 strong resistance might prompt some aggressive short-covering move and assist the pair to aim towards reclaiming the 1.3200 round figure mark.
GBP/USD daily chart