- GBP/USD remains on the back foot around monthly low.
- Downside break of two-month-old support, bearish MACD favor sellers.
- 200-day EMA adds to the upside filters, 61.8% Fibonacci retracement offers extra support.
GBP/USD bears keep controls around 1.3620 amid the initial Asian session on the Super Thursday, after refreshing the monthly low with 1.3609 due to the Fed tapering before a few hours.
The cable pair’s recent fall broke an ascending support line from July, which in turn joins bearish MACD signals to hint at the quote’s further downside.
The same highlights lows marked in August and July, respectively around 1.3600 and 1.3570, as immediate support to watch as the markets brace for the Bank of England (BOE) announcements.
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However, GBP/USD weakness past 1.3570 will depend upon how well it can conquer the 61.8% Fibonacci retracement (Fibo.) of December 2020 to June 2021 upside, near 1.3560.
On the contrary, the support-turned-resistance line near 1.3635 guards corrective pullback ahead of the 50% Fibo. level near 1.3695.
Even if the GBP/USD bulls manage to cross the 1.3700 threshold, the 200-day EMA level of 1.3730 will be the key to challenge the pair buyers.
GBP/USD: Daily chart
Trend: Further weakness expected