- The GBP/USD exchange rate could encounter an initial hurdle around the key 1.3400 price point.
- An examination of the daily chart reveals a diminishing upward trend, evidenced by the pair’s move below its established rising channel.
- Near-term support appears to be located at the nine-day EMA, currently at 1.3274.
The GBP/USD pair is stabilizing near the 1.3320 mark in early Monday trading in Asia, following declines in the prior session. A technical assessment of the daily chart indicates that the bullish momentum is waning, as the pair has breached its upward-sloping channel formation.
Nevertheless, GBP/USD remains above its nine-day Exponential Moving Average (EMA), which lends support to the short-term positive outlook. Furthermore, the 14-day Relative Strength Index (RSI) remains above the 50 threshold, providing additional confirmation of the bullish sentiment.
Looking upward, the GBP/USD pair is likely to meet initial resistance at the psychological level of 1.3400, with the next barrier at 1.3434 — a level previously observed in September 2024 and the lowest since March 2022. A decisive move beyond these resistance points might reinforce the bullish perspective, potentially driving the pair toward the upper boundary of the ascending channel, near 1.3480.
