GBP/USD nears 1.3085 support despite bullish technical picture

GBP/USD has slipped below the 1.31 mark though Friday's 4-hour chart is painting a bullish picture. Yohay Elam, an analyst at FXStreet, notes that initial support awaits at 1.3085. On the flip side, resistance is seen at 1.3170.

Key quotes

“Momentum on the 4-hour chart remains positive, but it has somewhat diminished. GBP/USD continues trading above the 50, 100, and 200 Simple Moving Averages, and the Relative Strength Index is outside overbought conditions.” 

“Support awaits at the daily low of 1.3085, followed by 1.3055, which is where the 50 SMA hits the price. The next lines to watch are 1.2985 and 1.29.”

“Resistance is at 1.3170, July's high, followed by a fresh peak of 1.3183 and 1.32. Further above, 1.3270 and 1.3320 are of interest.”