GBP/USD: Upside momentum is lost

GBP/USD Wednesday’s four-hour chart is showing upside momentum is lost. Yohay Elam, an analyst at FXStreet, takes a look at the worsened technical picture of the cable.

Key quotes

“Momentum on the four-hour chart has all but disappeared – a bearish sign. The currency pair is trading below the 200 Simple Moving Average but above the 50 and 100 SMAs.”

“Support awaits at 1.2310, a temporary support line early in the week. It is followed by 1.2240, the weekly low.”

“Resistance awaits at 1.2440, which held GBP/USD down early in the week. 1.2485, Friday’s high point follows it.”