GBPUSD – key supports at 1.3500 zone in focus after repeated rejection under 1.3600
Cable moved lower in early European trading on Tuesday after the action in Asia moved within narrow range and repeatedly rejected at 1.3580 zone.
Daily indicators are turning lower and signaling that broader bulls may be running out of steam following several failures at 1.3600/1.3580 zone.
Fresh easing eyes strong support at 1.3500 (rising 10SMA / low of n/t congestion / near Fibo 38.2% of 1.3301/1.3612) which should ideally hold to keep overall bulls intact.
Such scenario includes extended consolidation above 1.3500 before eventual break through 1.3600 pivot for attack at key resistance at 1.3655 (2017 high).
Otherwise, increased risk of deeper pullback could be expected on sustained break below 1.3500 pivot.
Res: 1.3585; 1.3600; 1.3612; 1.3655
Sup: 1.3522; 1.3500; 1.3489; 1.3457