The GBP/USD pair is trading below its downward trend line on a 4 hour time frame. This confirms that the trend is skewed towards the downside. Moreover, the price is also trading below the 50 and 100 day moving averages (shown in yellow and red colour respectively) and this is a further confirmation of the above statement. The 20 day moving average (shown in pink) is trading near the 50 day moving average and if it crosses the 50 day moving average from below towards the upside, it will be the first bullish sign.
The RSI is trading in line with the price action and this reflects that the current price movement has a momentum behind it and therefore, it could continue its downward path.
Important Zone
1.411-1.4075 Support
1.4476-1.4443 Resistance
Disclosure & Disclaimer: The above is for informational purposes only and NOT to be construed as specific trading advice. responsibility for trade decisions is solely with the reader.
by Naeem Aslam