GBP/USD: recovery back 20 and 50 hourly SMA’s

By FXStreet FXStreet (Guatemala) – GBP/USD is currently trading at 1.5427 with a high of 1.5471 and a low of 1.5372.

GBP/USD has reclaimed the 1.54 handle in the US session having fallen from 1.5470 highs in European trade. The fundamentals are stacking up in favour of stronger dollar from the camp that are expecting a rate hike, and a simple break of the 20 and 50 SMA on the hourly and a trigger of stops allowed the major to make its way through the handle to meet lows of 1.5372 before attracting demand again back up to the 50 and 20 SMA’s at 1.5434 and 1.5431 respectively.

GBP/USD 4hr insight

Technically, Valeria Bednarik, chief analyst at FXStreet noted and explained that in the 4 hours chart, the 20 SMA converges with the 38.2% retracement of the latest daily decline around 1.5410 offering an immediate support, whilst the Momentum indicator holds flat around its 100 level, and the RSI indicator aims higher around 54.
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Source:: FX Street