On Monday morning, the GBP/USD passed above the resistance of the 1.3410/1.3430 zone. However, a follow up surge did not occur. Instead, the pair started to trade in the zone. Meanwhile, support was being provided by the 50-hour SMA and the 1.3400 level. Resistance was provided by the 100-hour SMA at 1.3450 and the weekly simple pivot point at 1.3462.
If the GBP/USD passes below the support of the 50-hour SMA and the 1.3400 mark, a potential decline would look for support in the last week’s low level zone at 1.3354/1.3365. Below the zone, note the weekly S1 simple pivot point at 1.3316.
However, a surge of the pair might test the levels at 1.3450/1.3462. Above this zone, the 200-hour SMA at 1.3504 and the 1.3500 mark would most likely provide resistance.
