GBPUSD has a neutral bias in the short term, pivoting around the key psychological level of 1.44. During the past two weeks the pair has been trading within a range between 1.4331 and 1.4530. RSI is flat, hugging the 50 level, which is an indication of the lack of direction in the pair.
In the bigger picture, GBPUSD was in an uptrend from 1.4004 to 1.4768 and has retraced about 50% of this upleg. The market is now at a critical juncture around this 50% Fibonacci (1.4386), which is close to the key psychological level of 1.44.
As long as this support area holds, the market is not in danger of turning bearish. But a move below 1.44 would shift the focus lower to target the 61.8% Fibonacci at 1.4296.
Alternatively a move above 1.45 will strengthen the bullish market structure.
Origin: XM
