GBP/USD hits fresh 7-week lows

GBP/USD fell sharply at the beginning of the American session and hit its lowest level in seven weeks amid a risk-off environment and growing concerns of a possible Brexit.

Cable broke below the 100-day SMA and bottomed out at 1.4310 before pausing the slide, as pressure mounts as polls continue to show tight results two weeks ahead of the EU referendum, which has raised the level of uncertainty. At time of writing, GBP/USD is trading at 1.4330, down 0.85% on Friday and headed for its second weekly loss in a row.

GBP/USD levels to watch

In terms of technical levels, next supports are seen at 1.4300 (Apr 21 low/psychological level), 1.4270 (Apr 19 low) and 1.4200 (psychological level). On the other hand, resistances are seen at 1.4429 (50-day SMA), 1.4474 (10-day SMA) and 1.4519 (20-day SMA).