Technical Analysis – GBPUSD plunges to 3-month low
- GBPUSD meets 200-day SMA
- RSI and MACD extend negative bias
GBPUSD declined below the long-term uptrend line and found support at the 200-day simple moving average (SMA), posting a fresh three-month low near 1.2790 on Tuesday. A decisive close below this significant level could trigger thoughts of steeper bearish actions.
Technically, the RSI is pointing downwards below the 50 level, while the MACD has crossed beneath its trigger line below the zero level.
More downside pressures could pave the way for the 1.2610-1.2670 support region before the market tumbles down to the 1.2445 barrier.
On the flip side, a successful upside attempt to surpass the rising trend line could drive the price until the 20-day SMA at 1.2950 before flirting with the 1.3045-1.3100 resistance region.
To sum up, GBPUSD’s current outlook is negative in the near term, but a clear move beneath the 200-day SMA would be a sign of a bearish outlook in the longer-term timeframe.
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