GBP/USD struggles to extend recovery above 1.4400

The GBP/USD pair is seen consolidating the extensive slide witnessed in the early Asian trades, as markets continue to digest the outcome of the latest polls, reflecting Leave camp taking the lead.

GBP/USD finds strong resistance at 1.4400

Currently, GBP/USD now drops -0.85% to 1.4395, unable to take on the recovery beyond 1.44 handle. The cable failed every attempt to reclaim 1.44 handle and now hovers below the last amid broad based USD corrective rally, awaiting fresh impetus from Fed Chair Yellen’s speech due later in the NA session.

The GBP/USD pair opened the week on a bearish note, with a downside gap of nearly 50-pips and slumped further in response to the latest polls on the EU referendum showing switch of votes in favour of Brexit.

Over the weekend, Observer/Opinium poll revealed the 'leave' side took a 'Lead' at 43% vs 40% for 'Remain'. Today’s ITV polls showed 45% leave, 41% remain, while TNS showed 43% leave, 41% remain.

GBP/USD Levels to consider

The pair has an immediate resistance at 1.4407/10 (Daily pivot/ high), above which 1.4448/50 (50-DMA/ psychological levels) would be tested. On the flip side, support is seen at 1.4362/53 (100-DMA/ Daily low) below that at 1.4300 (Round number).