The GBP/USD has rebounded from 1.5360 levels, erasing the earlier losses, the sterling had declined earlier in the mid European market after the release of construction PMI which came in line with the forecast. In the meantime, the cable has advanced towards 1.5420 at the time writing. The short term picture depicts further decline for this pair, as the RSI in the 4 hour chart is indicating downwards, the 55 MA pointing towards downwards and 30 and 20 MA is slightly bullish indicating short upward momentum. Overall the technical indicators are depicting overbought condition for the pair.
Support levels: 1.5380 1.5330 1.5280
Resistance levels: 1.5440 1.5510 1.5565
Recommendation: Go short around 1.5440/1.5460, targets 1.5400, 1.5360, SL 1.5510
Support levels: 1.5380 1.5330 1.5280
Resistance levels: 1.5440 1.5510 1.5565
Recommendation: Go short around 1.5440/1.5460, targets 1.5400, 1.5360, SL 1.5510