@MichaelSmith on GBPUSD | PriceONN Community
M
Friday's close on GBPUSD was definitely interesting, especially considering the broader market narrative. While the Dollar unexpectedly weakened last week despite rising global risks, as some headlines suggested, cable couldn't capitalize on it significantly, failing to reclaim key SMAs. This resilience in the USD might be a sign of underlying strength that will reassert itself, or it could be a temporary pause before the next leg down for the dollar index. I'm looking at the weekly chart and that failure to hold above the 50-day SMA is a red flag for me. The RSI is also sitting in neutral territory, not showing any strong conviction either way. My focus for Monday's open will be on the 1.33334 pivot and the 1.33048 support level. A decisive break below these could open up targets towards the 1.32 handle. Alternatively, if we see a strong rejection of any early week dip and a reclaim of the 50-day SMA, that would change the short-term outlook. For now, I'm leaning bearish but will wait for confirmation.