FxWirePro: GBP/USD recovery capped at 1.5437, strong support at 1.5366 (200DMA)

• USD has managed to keep losses under check even though major European indices are trading in the red
  
  
• Cable hit a 6wk low of 1.5336 on Friday and has recovered 101pips since then supported by gains in EUR/USD
  
  
• GBP/USD is currently trading at 1.5398, amid low volumes on account of the bank holiday in London
  
  
• Daily momentum remains negative, reinforcing the bearish bias, but failure to close below the 200-DMA a slight worry for bears
  
  
• Immediate resistance for cable located at 1.5429 (Hourly cloud top), ahead of 1.5442 (Daily High Aug 28) and then 100DMA at 1.5486
  
  
• Minor support on the downside is seen at 1.5381 (Session Low Aug 31), breach below could take the pair to 1.5366 (200 DMA)
  
  
  

Resistance Levels:

R1: 1.5429 (Hourly cloud top)

R2: 1.5442 (Daily High Aug 28)

R3: 1.5486 (100-Day MA)

R4: 1.5550 (Daily Cloud Base)

Support Levels:

S1: 1.5381 (Session Low Aug 31)

S2: 1.5336 (Daily Low Aug 28, 200 DMA)

S3: 1.5330 (Daily Low Jul 8)