GBP/USD Technical Analysis 9 Dec 2015
The GBP/USD pair edged lower for a third day in-a-row, having fell down to 1.4955 before recovering the 1.5000 level before the US close. The British Pound was weighed by falling oil prices, and worse-than-expected UK factory output, down in October by 0.1%. Industrial Production grew slightly above expected, not enough, however, to help the currency advance.
The pair enters the Asian session correcting its short term oversold readings, but maintaining a bearish tone, given that in the 1 hour chart, the technical indicators have bounced from extreme readings, but are now losing upward strength below their mid-lines, whilst the price remains well below a bearish 20 SMA.
In the 4 hours chart, the price is below the 20 SMA, while the technical indicators are aiming higher from near oversold territory, but remain well into negative territory and unable to confirm a clear directional strength.
Support levels: 1.4950 1.4920 1.4880
Resistance levels: 1.5010 1.5050 1.5090