Technical Analysis – GBPUSD tumbles to 5-month low
April 22, 2024 12:27 pm
GBPUSD posts aggressive bearish move
MACD and stochastic indicate more declines
GBPUSD breached the tough 1.2370-1.2405 zone with strong momentum to fall straight down to a new five-month low of 1.2308 earlier in the day.
Technically, the pair is sailing near oversold waters according to the stochastic oscillator as it posted a bearish crossover within the %K and %D lines as well. The MACD is also flagging a potential downfall as it’s losing impetus beneath its trigger and zero lines.
Should the bears press the price lower, the price may prevent an aggressive downfall towards the 1.2180 support level, registered on November 10. If the latter gives way too, the decline could continue towards the support line from October at 1.2070.
If buyers take the lead, the door will open for the 1.2370-1.2408 restrictive area. Running higher, the pair will have to face the 1.2495-1.2520 resistance levels ahead of the death cross within the 20- and the 200-day simple moving averages (SMAs) at 1.2557, before touching the short-term descending trend line at 1.2580.
In a nutshell, as GBPUSD exited from the long-term trading range there are no obstacles to consider until the 1.2180 support.
GBPUSD posts aggressive bearish move
MACD and stochastic indicate more declines
GBPUSD breached the tough 1.2370-1.2405 zone with strong momentum to fall straight down to a new five-month low of 1.2308 earlier in the day.
Technically, the pair is sailing near oversold waters according to the stochastic oscillator as it posted a bearish crossover within the %K and %D lines as well. The MACD is also flagging a potential downfall as it’s losing impetus beneath its trigger and zero lines.
Should the bears press the price lower, the price may prevent an aggressive downfall towards the 1.2180 support level, registered on November 10. If the latter gives way too, the decline could continue towards the support line from October at 1.2070.
If buyers take the lead, the door will open for the 1.2370-1.2408 restrictive area. Running higher, the pair will have to face the 1.2495-1.2520 resistance levels ahead of the death cross within the 20- and the 200-day simple moving averages (SMAs) at 1.2557, before touching the short-term descending trend line at 1.2580.
In a nutshell, as GBPUSD exited from the long-term trading range there are no obstacles to consider until the 1.2180 support.
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