GBPUSD bulls fail to cheer a clear upside break of the monthly horizontal resistance, now support, as the 50-DMA challenges immediate upside. Given the easing bearish bias of MACD and firmer RSI, the prices are likely to extend the corrective pullback beyond the 50-DMA level surrounding 1.3450. However, a broad bearish trend established since June remains intact until the quote crosses a six-month-old resistance line near 1.3645. Before that, 100-DMA close to 1.3570 will act as an additional upside filter.
On the flip side, the aforementioned monthly horizontal line, around 1.3370, restricts pullback moves. Should the cable pair drops below 1.3370, the 1.3270 level and the 1.3200 threshold will act as extra supports to watch before the quote challenges the yearly low of 1.3160. In a case where GBPUSD prices drop below 1.3160, the odds of witnessing an extended fall towards the 1.3000 psychological magnet can’t be ruled out.