GBP/USD under pressure, attempts to hold onto 1.4800

By FXStreet FXStreet (Córdoba) – The British pound continues to underperform on Tuesday, having fallen through the 1.4800 level to fresh 8-month lows against the US dollar.

GBP/USD has lost more than 120 pips from daily highs, with no clear trigger for the move, and bottomed out at 1.4789. With the subsequent bounce capped by the 1.4810 area, the pair was confined to a phase of consolidation around 1.4800. At time of writing, Cable was trading at 1.4798, 0.54% lower on the day.

GBP/USD remains on a broader downtrend amid divergent monetary policies outlook between the Fed and the BoE, which seems in no hurry to begin hiking rates.

GBP/USD technical levels

In terms of levels, next supports seen at 1.4700 (Apr 15 low/psychological level) and 1.4604 (Apr 14 low) ahead of 1.4569 (2015 low). On the other hand, resistances line up at 1.4900 (10-day SMA/psychological level), 1.4949 (Dec 24 & 18 highs), and the 1.5000/05 zone (psychological level/21-day SMA).
For more information, read our latest forex news. …read more

Source:: FX Street