GBPUSD: Negative Bias Below 1.2471

GBPUSD trading 0.17 percent lower at 1.2426 just shy of the daily low at 1.2422 as Boris Johnson is now the official resident at number 10. UK parliament is set to observe a vacation period starting from today until 3 September. So I don’t expect any notable Brexit developments during that period.

GBPUSD continues lower for second day in a row amid broad USD strength. The short term momentum is negative for the pair as yesterday breached the major hourly moving averages. On the downside first support for GBPUSD can be met at 1.2417 the low from July 23, and then at 1.24 round figure. On the upside immediate resistance stands at 1.2459 today’s high while more offers will emerge at 1.2471 the 50 hour moving average. Intraday traders can enter a long position if the pair breaks above 1.2459 targeting 1.2513 high for profit, a stop order should be also activated at 1.2417. Short positions targeting the recent low at 1.2381 should place stop loss orders at 1.2471.Don’t miss a beat! Follow us on Twitter.