GBP/USD maintains its move back, major support seen at 1.2410 – Credit Suisse

GBP/USD remains under pressure, trading around the 1.2530 price zone. The Credit Suisse analyst team look for the immediate risk to stay lower with a test of the 55-day average and uptrend from March at 1.2410/00 on the cards.

Key quotes

“With the market holding back beneath the 200-day average we look for further weakness yet with support seen initially at 1.2446 and then more importantly at 1.2410/00 – the rising 55-day average and confirmed uptrend from March. We would look for this to then hold and for the trend to try and turn higher again.”

“Below 1.2400, GBP/USDwould see the uptrend break to suggest we are seeing a more significant turn lower, with support then seen next at 1.2278/77 – the 38.2% retracement of the entire Match/June uptrend.” 

“Resistance is seen at 1.2546/51 initially above which can ease the immediate downside bias with resistance then seen next at 1.2609 and with 1.2654 ideally now capping to keep the immediate risk to the downside.”