Title: GBP/USD Price Analysis: Keeps bounce off 1.1400 key support amid oversold RSI
September 8, 2022 12:03 AM ET
The GBP/USD pair is clinging to slight losses around 1.1510 while avoiding the previous day's bounce off the 37-year low during Thursday's Asian session.
In doing so, the cable pair is vindicating bearish MACD signals while remaining inside a downward sloping trend channel since May.
However, the oversold RSI and lower line of the indicated channel, as well as the pair's hesitancy to break above 1.1400 during the 2020 session, as well as the day before, seem to suggest a near-term rebound in GBP/USD prices.
That said, the July low at 1.1760 drew immediate attention from traders ahead of the upper multi-day channel line, which was around 1.2080 at press time.
It should be noted, however, that a horizontal zone comprising several marked levels since April 2020, around 1.2650-75, will be a tough nut to crack for the pair of buyers and holds the key to their takeover ceremony.
Alternatively, pullback moves must break the 1.1400 support level to recall the bears. A quick drop to the January 1985 high of 1.1300 is not out of the question.
Overall, the GBP/USD remains in the bearish crosshairs, but a short-term rebound cannot be ruled out.