GBP/USD: daily update
GBP/USD is rose after 4 days of declines from Monday’s high above $1.5400 to today’s low at $1.5102.
The pair’s oversold on H4, so there is a corrective bounce. Resistance is at $1.5200, $1.5240, $1.5300. British home price data was positive. UK construction PMI jumped to 57.0, the highest levels since 2010.
Yet, we stick to the view of selling sterling on the rallies, around $1.5250. Downside targets lie at $1.5055 (61.8% Fibo), $1.5000 (psychological level), $1.4960 and $1.4813 (July low). An increase above $1.5300 will make us review the short-term outlook.
Chart. H4 GBP/USD