GBPUSD (1H) - intraday bearish bias
The cable is struggling today to break into a new high, attempts at the 1.2700 psychological level has failed so far for lack of news catalyst on the Brexit front. This leaves the price action to technical trading as buyers took profit at the double top formation. The RSI divergence gave a warning that the bullish momentum could come to an end, and we expect the price to start its retreat. The 38.2% (1.2520) Fibonacci retracement may be a major support level to keep the optimistic mood alive.
Key support: 1.2520
Key resistance: 1.2700
The cable is struggling today to break into a new high, attempts at the 1.2700 psychological level has failed so far for lack of news catalyst on the Brexit front. This leaves the price action to technical trading as buyers took profit at the double top formation. The RSI divergence gave a warning that the bullish momentum could come to an end, and we expect the price to start its retreat. The 38.2% (1.2520) Fibonacci retracement may be a major support level to keep the optimistic mood alive.
Key support: 1.2520
Key resistance: 1.2700