GBP/USD Capped by Key Resistance at 1.3470
The GBP/USD pair remains capped by a key resistance level at 1.3470, a downward-sloping trendline that has consistently limited upside attempts in recent sessions.
This technical hurdle reflects broader market sentiment toward the pound, influenced by recent UK economic data and the strength of the US dollar driven by Federal Reserve rate hike expectations.
Momentum indicators are mixed, with the Relative Strength Index (RSI) hovering near 50 and the Moving Average Convergence Divergence (MACD) remaining below its signal line, suggesting bearish momentum may still be intact.
A break above 1.3470 could shift the technical outlook to a more bullish stance, potentially targeting the 1.3500 psychological level, but traders are advised to exercise caution and closely monitor key support levels at 1.3400 and the 50-day moving average around 1.3350.