GBPUSD – repeated failures at 1.3395 Fibo barrier would keep the downside at risk
Cable is holding within narrow range in early Wednesday’s trading but upside remains limited at 1.3400 (Tue / today’s session highs), as near-term bulls repeatedly failed to close above cracked 1.3395 pivot (Fibo 38.2% of 1.3549/1.3301 downleg)
Tuesday’s action ended in long-tailed Doji candle and signaling indecision of recovery rally from 1.3300 base.
Near-term action remains underpinned by thickening and rising daily cloud but daily studies show loss of momentum which could signal recovery stall.
The downside is expected to remain vulnerable if the price stays below pivots at 1.3395/1.3410 (Fibo 38.2% / daily Tenkan-sen) and risk pullback to rising daily 30SMA (1.3327) which also underpins near-term action.
Sustained break above 1.3410 would open way for bullish continuation towards 1.3454/64 (Fibo 61.8% of 1.3549/1.3301 / 14 Dec high) which mark next pivotal points for 1.3500+ extension.
Res: 1.3395; 1.3410; 1.3425; 1.3454
Sup: 1.3360; 1.3340; 1.3327; 1.3300