GBP/USD bears eye 1.6805 as key - FXStreet

FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet noted that the GBP/USD posted a limited advance.

Key Quotes:

“The GBP/USD posted a limited advance. This first trading day of the week, favored by UK Construction PMI released early Europe, showing house building grew at its fastest pace in over 10 years”.

“The GBP/USD hourly chat shows however the upside potential limited, as price remains below strong static level of 1.6860, and indicators losing upward strength albeit still in positive territory”.

“In the 4 hours chart indicators extend higher from oversold levels but hold in negative territory, while 20 SMA caps the upside around mentioned static resistance, reinforcing its strength”.

“An advance above 1.6860 can see the pair extending up to 1.6900 first, but will be only above next resistance of 1.6940 what it takes to revert the negative tone. Below 1.6805 on the other hand, bears will take control with immediate short term support then at 1.6770”.

“Support levels: 1.6805 1.6770 1.6735”.

“Resistance levels: 1.6860 1.6895 1.6940”