GBP/USD recovers off intraday lows

FXstreet.com (New York) - The GBP/USD foreign exchange rate has recovered off earlier lows incurred during European trading in the vicinity of 1.5344.

GBP/USD may find support at 1.5218

According Karen Jones, an analyst at Commerzbank, “The GBP/USD last week sold off aggressively from 1.5752 and we continue to view this as a minor top for the market. This move lower has reached the 55-day MA at 1.5378 – a failure here is needed to signal a slide to the support line at 1.5066. Moreover, the base of the daily cloud at 1.5218 may offer support en route.”

Presently, the GBP/USD has eliminated all but a portion of its losses, now operating at just -0.07% off its opening Monday - in these moments the pair is residing at 1.5369. “The GBP/USD looks to be fortified by strong support at 1.5292, which should hold for now. Meanwhile, resistance is at 1.5531 ahead of the critical resistance at 1.5789.” notes Gareth Berry, a Research Analyst at UBS.

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