GBP/USD: Upside momentum has waned

GBP/USD has fallen below the uptrend support line that accompanied it since hitting a low of 1.2165 last week while Wednesday's four-hour chart is pointing to further falls, FXStreet’s analyst Yohay Elam briefs.

Key quotes

“Upside momentum on the four-hour chart has waned. On the other hand, cable continues trading above the 50, 100, and 200 Simple Moving Averages.” 

“Significant support awaits at 1.2490, which was a stubborn cap in late March. It is followed by 1.2385, a resistance line from last week and also where the 200 SMA hits the price.”

“Resistance is at 1.2580, which was a temporary stop on the way up, and by Tuesday's peak of 1.2645.”