GBP/USD Erases Early Gains, Drops Back to 1.4400 Mark
The GBP/USD
pair early morning gains ran into selling pressure, dragging the pair
back towards 1.4400 handle to currently trade near 1.4410 level.
On
daily chart the pair has decisively broken through a short-term
descending trend-line resistance near 1.4400 mark and had subsequently
moved ahead of 100-day SMA. Hence, any pull-back towards the resistance
break-point turned support is likely to provide opportunity for bulls to
initiate fresh long positions.
Technical levels to watch
Although,
a drop towards 1.4400 mark is likely to get bought into, sustained
weakness below the round figure handle is likely to exert some selling
pressure towards 1.4365-60 horizontal support.
Alternatively,
bounce off 1.4400 mark, leading to a move above back above 100-day SMA
level around 1.4430 level, would set the stage for extension of the
pair's upward trajectory immediately towards highs tested in March near
1.4500 psychological mark.
