GBP/USD Recovery Tested as Key Resistance Emerges Near 1.3290

Key Highlights

• GBP/USD declined toward 1.3200 before the bulls emerged.
• A bearish trend line is forming with resistance at 1.3290 on the 4-hour chart.
• Gold prices weakened and traded below $4,200.
• WTI Crude Oil started a consolidation phase below $100.00.

GBP/USD Technical Analysis

The British Pound gained bearish momentum below 1.3250 against the US Dollar. GBP/USD even tested the 1.3200 zone before it found some support.

On the 4-hour chart, the pair settled below 1.3300, the 100-period simple moving average (red), and the 200-period simple moving average (green). A low of 1.3204 was established, after which the pair entered a consolidation phase.

If a recovery ensues, the pair may encounter resistance near 1.3280. Additionally, a bearish trend line is developing with resistance at 1.3290, which aligns closely with the 23.6% Fibonacci retracement of the decline from the 1.3568 peak to the 1.3204 trough.

A breakout above the 1.3290 resistance could initiate a moderate recovery. The next notable hurdle is likely around 1.3345, with the main resistance positioned at approximately 1.3420—the 100-period simple moving average (red, 4-hour).

A sustained move above 1.3420 may signal further upside potential. In such a scenario, buyers could target levels around 1.3480. Conversely, if the pair fails to recover above 1.3290, it could resume its downtrend, with initial support located near 1.3220.

The first major support level stands at 1.3200. A break below this point might accelerate selling pressure, potentially driving the pair toward the 1.3150 region.

Regarding Gold, bearish sentiment strengthened, pushing prices below $4,200, with potential for additional downside movement.

Upcoming Key Economic Events:

• US Housing Price Index for July 2026 (MoM) – Forecast +0.1%, versus 0% previous.
• S&P/Case-Shiller Home Price Indices for July 2026 (YoY) – Forecast +2.2%, versus +2.1% previous.

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