GBP/USD Erases Early Gains, Drops Back to 1.4400 Mark
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.