GBP/USD: Suffering downside momentum

GBP/USD Thursday's four-hour chart is pointing to further falls. Yohay Elam, an analyst at FXStreet, examines the cable from a technical perspective.

Key quotes

“The GBP/USD pair is suffering from downside momentum on the four-hour chart and it fell below the 50, 100, and 200 Simple Moving Averages.” 

“The Relative Strength Index is just above 30, still outside oversold conditions.”

“Critical support awaits at 1.2725, the low point from late February and the 2020 trough. It is followed by 1.2705 and 1.2655.” 

“Resistance is at 1.2775, which provided support in early March, followed by the recent high of 1.2850.”