GBP/USD: Bears have not given up the fight

Friday's four-hour chart is pointing to a resumption of the falls in the cable, according to Yohay Elam from FXStreet.  GBP/USD is trading at 1.2928 right now.

Key quotes

“Sterling's recovery has been enough to push it out of oversold conditions according to the Relative Strength Index on the four-hour chart. However, momentum remains to the downside while it faces massive resistance. The 50, 100, and 200 Simple Moving Averages are converging around 1.30 and may prove a hard barrier for the pound.” 

“Initial resistance awaits at 1.2975 which was a swing low last week. The round number of 1.30 almost converges with the 200 SMA.”

“Support awaits at 1.29, a round number that provided support in January.”