GBP/USD – Weak recovery attempt posted another lower top
The GBP/USD currency pair on the 4-hour time frame has been following a downtrend recently. The price dipped below the key support level of 1.30000 on 5 April. The price recovered quickly above the 1.30000 level with more than 50 pips jump but the recovery attempt was weak as the price failed to breach the last resistance level of 1.31979 (High of 3 April)
The 4-hour chart of the GBP/USD confirms the negative sentiment in the price movement as the pair is making successively lower tops and lower bottoms.
By applying Oscillators Analysis, all three indicators confirm the negative bias in the market. As the chart shows, price is well below the 200-period Moving Average. The MACD (Moving Average Convergence/Divergence) is recording values below the zero-line which shows negative sentiment in the GBP/USD. RSI (Relative Strength Index) showing values below 50 which supports the bearish sentiment in the market.
Next support level lies at 1.29786, if the price breaks below this level, bears will take full control of the market.
In alternative scenario, key resistance level lies at 1.31979. Bulls must break this level in order to regain bullish sentiment in the market.
The 4-hour chart of the GBP/USD confirms the negative sentiment in the price movement as the pair is making successively lower tops and lower bottoms.
By applying Oscillators Analysis, all three indicators confirm the negative bias in the market. As the chart shows, price is well below the 200-period Moving Average. The MACD (Moving Average Convergence/Divergence) is recording values below the zero-line which shows negative sentiment in the GBP/USD. RSI (Relative Strength Index) showing values below 50 which supports the bearish sentiment in the market.
Next support level lies at 1.29786, if the price breaks below this level, bears will take full control of the market.
In alternative scenario, key resistance level lies at 1.31979. Bulls must break this level in order to regain bullish sentiment in the market.