The GBP/USD pair remains subdued around 1.2900, bouncing off daily lows of 1.2877, as sellers struggle to push the pair lower. Despite failing to close below 1.2900, momentum indicates potential further losses in the near term.
Technical Outlook
Technical analysis suggests that the GBP/USD pair is currently trading within a range of 1.2880-1.2940, with immediate resistance at 1.2900. If this level is breached, the pair could target the key support levels at 1.2860 and 1.2779. A break below these levels could lead to a deeper pullback towards the 100-day moving average at 1.2678.
On the upside, if buyers manage to push the exchange rate past 1.2940, the next resistance level to watch is at 1.3000.
Analysis Breakdown
The GBP/USD pair is currently facing resistance at 1.2900, with potential support levels at 1.2860 and 1.2779. A breach of these support levels could lead to further losses towards the 100-DMA at 1.2678. On the other hand, a break above 1.2940 could signal a move towards 1.3000.
Traders should closely monitor these key levels to determine the next direction of the GBP/USD pair and adjust their trading strategies accordingly.