GBP/USD: Ferocious strife between bulls and bears

GBP/USD has retreated from the 1.30 level and Tuesday's 4-hour chart is showing a fierce battle between bulls and bears. Support is seen at 1.2920 while resistance moves to 1.2975, Yohay Elam, an Analyst at FXStreet, reports.

Key quotes

“Pound/dollar is trading above the 100 and 200 Simple Moving Averages but below the 50 SMA, and momentum has flipped back down. All in all, the picture is mixed amid the tight range trading.” 

“Some support awaits at 1.2920, which is the daily low, followed by strong support at 1.2865, which is a double bottom. The next level to watch is 1.28.”

“Resistance is at 1.2975, which was a swing high twice in early October. It is followed by Monday's high of 1.3025, and then by 1.3080, the monthly peak.”