FXStreet (Guatemala) – Valeria Bednarik, chief analyst at FXStreet explained that after printing a fresh 8-month low of 1.4804 last week, the GBP/USD pair managed to close the week with some modest gains at 1.4922.
Key Quotes:
“Despite the recent recovery, the upside potential in term seems limited, as the daily chart shows that the pair is developing well below a bearish 20 SMA, currently in the 1.5040 region while the technical indicators are correcting oversold readings, but still below their mid-lines.
Additionally, the price remains below 1.4950, the level where short term sellers have been surging ever since breaking lower a couple of weeks ago. Shorter term, the 4 hours chart points for some advances for this Monday, as the price holds above a horizontal 20 SMA, and the technical indicators stand in positive territory, although partially losing their upward strength.”
(Market News Provided by FXstreet)