GBP/USD: Downside risk intact, towards 1.5130 low

by Admin

The GBP/USD upward corrective movement extended towards the 1.5320 price zone as expected, and the pair slowly resumed its slide from the area, trading now around 1.5260. The 4 hours chart shows 20 SMA capped the upside and holds a strong bearish tone, while indicators head back lower after correcting extreme oversold readings, which points for a new leg down:  below 1.5240 daily low, the pair will likely extend its slide looking for 1.5180 area in the short term. Once this last level gives up, weekly low of 1.5130 is next.

Gains continued to be seen limited and approaches to 1.5320 are still selling opportunities, as only steady gains above 1.5340 will deny the bearish continuation today.

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