GBP/USD stabilizing on the downside below 1.543 handle

By FXStreet FXStreet (Guatemala) – GBP/USD is currently trading at 1.5345 with a high of 1.5438 and a low of 1.5337.

GBP/USD fell through the 1.54 handle as the dollar triumphed in European and US markets as traders took advantage of the downside in thin markets for the pound with London out on a Bank Holiday.

GBP/USD and Nonfarm Payrolls

GBP/USD is on a losing streak and in the absence of data to support a positive outlook for the UK, it is free to drift lower while the US continues to print a healthy and upbeat picture of the economy in a month where some analysts are predicting that the Fed will start to hike interest rates. The focus for this week is with the Nonfarm Payrolls.

GBP/USD bearish

Technically, Valeria Bednarik, chief analyst at FXStreet explained that the short-term picture is bearish, as the price extended below its 20 SMA during the American afternoon, whilst the technical indicators are now hovering near oversold levels. “In the 4-hours chart, the price was rejected from a strongly bearish 20 SMA, currently around 1.5420, whilst the RSI indicator turned south around 31, supporting additional declines on a break below 1.5335, the immediate support, and …read more

Source:: FX Street