GBP/USD technical analysis: Cable off daily highs, trading above 1.2312 level

 

 

The GBP/USD currency pair is in a bear trend below the 100 and 200-day simple moving averages (SMAs). However, the Sterling is rebounding sharply from multi-year lows as the bill to block a no-deal Brexit passed the House of Commons. On the other hand, the US Dollar is regaining some strength after the release of the better-than-expected United States Non-Manufacturing PMI. The data came in at 56.4 in August vs. 54 forecast by analysts.

 

GBP/USD is consolidating the recent gains above the 1.2312 support. If buyers intend to extend the recent recovery, they need to overcome 1.2348 resistance to drive the market towards 1.2384 and 1.2422 resistance levels, according to the Technical Confluences Indicator.

 

 

GBP/USD is off the daily highs while above the main SMAs, suggesting bullish momentum in the near term. Immediate support can be seen at 1.2312, 1.2281 and 1.2243 levels, according to the Technical Confluences Indicator.