GBP/USD analysis: Returns to 1.3900
The GBP/USD traded with high volatility due to the US CPI release on Tuesday. However, on Wednesday, the rate had recovered and appeared to be set for another test of the resistance zone above the 1.3900 mark.
In the case that the rate passes the resistance of the 1.3900 mark, the GBP/USD would find resistance in the 1.3950 mark and afterward the weekly R1 simple pivot point at 1.3963.
GBP/USD Price Analysis: Recovery remains capped below 100-day EMA
GBP/USD seesaws 1.3865 and 1.3850 amid a quiet Asian session on Thursday. The cable pair snapped a two-day downtrend the previous day but couldn’t cross the 100-day EMA hurdle.
Even so, the upward sloping Momentum line joins the quote’s successful trading above the three-month-old support line and 200-day EMA favor buyers.
Hence, a clear break of 100-day EMA, around 1.3890 by the press time, will act as a trigger for the pair’s run-up to challenge the monthly top near 1.3910, also targeting the 1.4000–4010 important resistance comprising multiple highs marked since March.
