GBP/USD: continuing on the Brexit inflated fears - FXStreet

Valeria Bednarik, chief analyst at FXStreet explained that the GBP/USD pair closed the week with strong gains just a couple of pips below the 1.3300 level, although it was unable to sustain gain beyond 1.3320, the 23.6% retracement of the post-Brexit slump, and a major static resistance, given that advances beyond it have been short-lived ever since June 24th. 

Key Quotes:

"The Sterling Pound advanced for a third consecutive week against its American rival, underpinned by strong macroeconomic readings suggesting that the UK economy rebounded in August, after July's setback. 

Trading near a breakout point, the daily chart shows a positive tone, although no actual upward momentum coming from technical readings, as the price stands at the higher end of its last two-month range. 

Beyond the mentioned Fibonacci resistance, August high at 1.3370 is the relevant resistance, and the level to surpass to confirm a firmer recovery. Shorter term, the 4 hours chart shows that the 20 SMA heads north while crossing above the 200 EMA, whilst the technical indicators consolidate near overbought territory, supporting further gains for these upcoming days."