GBP/USD remained volatile around 1.26010, with the pound recovering after hitting a fresh 14-week low, but the overall bias remains bearish as the UK economy could face a recession due to the Bank of England's aggressive interest rate tightening cycle.
GBPUSD - 4-hour K-line chart shows:
Brief technical analysis:
Looking at the 4-hour chart: the short-term lows are maintained, the market’s bullish sentiment is slowly emerging, the MACD indicator is in the bearish area and the RSI indicator is hovering weakly below the 50 balance line;
Resistance levels: 1.26180 1.26326
Support levels: 1.25782 1.25615
Trading strategy: bullish above 1.25949, target 1.26180 1.26326
Alternative strategy: bearish below 1.25949, target 1.25782 1.25615