FXStreet (Mumbai) – The GBP/USD pair recovered from the low of 1.5533 to trade in the narrow band of 1.5550-1.5560 as the major European currencies trade volatile on the increased probability of Grexit.

Recovery stalled at hourly 100-MA

The pair ran into offers once again at the hourly 100-MA located at 1.5583, thereby capping the recovery seen from the low of 1.5533. The pair was subsequently pushed below the critical levels of – 1.5568 (38.2% Fib R of July 2014-April 2015 plunge) and 1.5566 (50-DMA).

The European currencies have turned volatile as investors digest the stunning result of the Greek referendum on Sunday. The markets are now closer to Grexit situation than they were before Sunday. Ahead in the day, the US services PMI could influence the pair along with the Greece related newsflow.

GBP/USD Technical Levels

The immediate support is seen at 1.55, under which the pair could 1.5460 (61.8% Fib R of June rally). On the other hand, resistance is seen at 1.5568 (38.2% Fib R of of July 2014-April 2015 plunge) and 1.5538.

The GBP/USD pair recovered from the low of 1.5533 to trade in the narrow band of 1.5550-1.5560 as the major European currencies trade volatile on the increased probability of Grexit.

(Market News Provided by FXstreet)

By FXOpen