GBP/USD traded higher around 1.3270 during Asian hours on Monday after four consecutive days of losses, rebounding from levels near its three-month low of 1.3218 recorded on March 13 [1]. Technical analysis indicates a persistent bearish bias, as the pair remains within a descending channel pattern and holds below both the nine-day and 50-day Exponential Moving Averages (EMAs), which continue to cap recovery attempts and frame a declining short-term trend [1]. The 14-day Relative Strength Index (RSI) reading near 41, below the 50 mid-line, confirms ongoing downside momentum, and the sequence of lower closes over recent sessions reinforces selling pressure on upticks [1].
Immediate support for GBP/USD is seen near the three-month low of 1.3218, followed by the descending channel’s lower boundary around 1.3160 [1]. On the upside, resistance is located at the nine-day EMA of 1.3329, with further advances potentially testing the 50-day EMA at 1.3424 and the upper descending channel boundary around 1.3460. A break above this confluence resistance zone could shift the bias to bullish and support GBP/USD in exploring the area around 1.3869, the highest since September 2021, reached on January 27 [1].
The heat map of major currencies shows that GBP was marginally weaker against the USD (-0.06%) and EUR (0.00%) today, but stronger against the JPY (-0.25%), AUD (0.23%), NZD (0.28%), and CHF (0.00%) [1]. No explicit market reactions or analyst opinions regarding the future direction of GBP/USD were provided, but the technical analysis suggests continued downside momentum unless key resistance levels are breached [1].
CONCLUSION
GBP/USD has rebounded from its three-month lows but remains under persistent bearish pressure, with technical indicators pointing to continued downside momentum. The pair faces immediate support at 1.3218 and resistance at 1.3329, with a potential shift to bullish bias if key resistance levels are broken. Market sentiment remains mildly negative, and traders are likely to watch for further technical developments.