GBP/USD: Close to critical resistance

GBP/USD is nearing the 1.2270 level which was a swing low in early May and is where the 50 Simple Moving Average on the four-hour chart hits the price, FXStreet’s analyst Yohay Elam briefs.

Key quotes
“Momentum turned positive but only just. The cable still trades below the 100 and 200 SMAs while the Relative Strength Index is balanced.”

“Above 1.2270, the next resistance lines are 1.2340, 1.2375, and 1.2460 were all stepping stones on the way down.”

“Some support awaits at 1.2250, which is provided support in both April and May, and it is followed by 1.2165, a former double-bottom.”