GBP/USD technical analysis: 4-day long resistance-line holds the key to 4H 50MA

• Near-term resistance-line limits GBP/USD upside towards 4H 50MA.
• Adjacent support-line can question bears during declines.

GBP/USD confronts short-term trend-line resistance as it makes the rounds to 1.2165 on early Tuesday.

The pair needs to overcome four-day long descending resistance-line, at 1.2167 in order to aim for 50-bar moving average (4H 50MA) level near 1.2232. However, 23.6% Fibonacci retracement level of mid-July to early-August plunge near 1.2200 can offer an intermediate stop to the rise.

In a case prices rally past-1.2232, 1.2300 and 50% Fibonacci retracement surrounding 1.2330 should be of buyers’ concern.

During the declines, an immediate ascending trend-line near 1.2110 can please sellers ahead of diverting them to recent lows near 1.2080 and then towards the 1.2000 round-figure.

GBP/USD 4-hour chart

Trend: Pullback expected