GBP/USD – Bearish break but intraday RSI oversold
Resistance – 1.42, 1.4277, 1.4330
Support – 1.4193, 1.4132, 1.4080
Support – 1.4193, 1.4132, 1.4080
- Prices dropped to 1.4160 in Asia, pushing the hourly and 4-hour RSI to oversold territory.
- Hence, a temporary loss of momentum followed by a minor correction to 1.4330 cannot be ruled out.
- However, given the bearish weekly closing and daily RSI at 35.00, upticks are likely to be met with fresh offers, thus crucial support levels mentioned above stand exposed.
- Gold in terms of GBP or XAU/GBP could rise sharply ahead of referendum as compared to drop in Cable as rising uncertainty would not only hurt GBP but could also push up international gold prices.
