GBPUSD continues to decline and may reach at 1.1960 area soon. GBPUSD is currently impulsive and non-volatile with the current Bearish trend. Let’s check GBPUSD Technical Analysis for more levels and insights.
March 17, 2020 | AtoZ Markets – GBPUSD is currently residing near 1.2100 area while continuing to decline further. The price rejected 1.2420 area earlier and managed to sustain the downward pressure. GBPUSD Bearish trend is strong to sustain to take the price further lower in the coming days.
The U.S. dollar has been quite strong today and recovering the losses of the last trading days. USD jumped after the U.S. Central Banks ease the policy and took some aggressive steps. On the other hand, Monthly Retail Sales reports is going to be published today. In this case, if the actual result comes greater than the forecast, USD may sustain further momentum in the coming days.
On the other hand, GBP is struggling to gain momentum against USD. Investors are currently very concerned about the UK governments approach to defend the economy from the Coronavirus epidemic. So, if the UK don’t take any required action against the Coronavirus, GBP may decline more in the coming days.
GBPUSD Continues to Decline and Sustain the Bearish Pressure
The price is currently residing near $1.2085 area, and GBPUSD Bearish trend continues to decline. After the price rejected 1.2420 area, GBPUSD push the price lower quite aggressively. The price may reach in September 2019’s low in the coming days.
Image: GBPUSD 4 Hour Chart
According to the 4-hour chart, the price is currently residing near 1.2115 area and pushing lower. As GBPUSD remains impulsive while residing below 1.2420 area, the Bears may continue towards 1.1960 soon.
Moreover, the MACD indicator lines are residing below 0.00 level while Bullish cross over is in the making. The dynamic level of 20 EMA is currently residing above the present price, along with the Kijun and Tenkan line, which may pull the price higher as Mean Reversion. In this case, the Kijun line and the Tenkan lines may work as a Bearish confluence to the dynamic level of 20 EMA in the process.
GBPUSD to Climb Higher Again?
According to the Daily chart, GBPUSD is currently trading at 1.2110 area and declining impulsively. After rejecting 1.2620 area, the Bears pushed the price lower and had a close below 1.2300 area. As per the current scenario, if the Bearish impulsive momentum continues, the price may decline further towards 1.1960 area. So, if GBPUSD can bounce with a strong daily close above 1.1960 support area, the Bulls may recover higher towards 1.2620 again in the coming days.
Image: GBPUSD Daily Chart
The Stochastic Oscillator lines are residing below oversold level 20 and currently having a Bullish cross over. Moreover, the RSI indicator line is also residing below the oversold level 30, which indicates upcoming Bullish intervention in the process. The dynamic level of 20 EMA is residing above 1.2620 area which may attract the price higher as Mean Reversion.
To conclude, GBPUSD continues to decline may result in further Bearish pressure. Despite the overall Bearish Bias, the Bulls may intervene as the price reaches 1.1960 area.