GBP/USD: Failure at 1.3640 to trigger a downfall towards the 1.3457 mark – Commerzbank

GBP/USD is under pressure in its range. According to Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, cable could slump as low as 1.3457.

The 55-day moving average at 1.4004 caps

“GBP/USD is range trading between its 55 and 200-day moving averages at 1.4000 and 1.3697. While the former caps, we should see further losses to the 200-day ma at 1.3697 and the late May and early June lows at 1.3670/69.” 

“We look for the late May and early June lows at 1.3670/69 to hold the initial test.” 

“Failure at 1.3640 would target 1.3457, the 50% retracement of the move higher from September 2020.”