GBP/USD found sellers near 1.3040 after a strong rally this past week. NZD/USD declined heavily and broke the 0.6620 support area. Both pairs could trade higher, but upsides could be capped.
Important Takeaways for GBP/USD and NZD/USD
The British Pound opened this week with a gap down to 1.2915. GBP/USD could test an important bullish trend line with support at 1.2890 on the hourly chart. NZD/USD broke the key support at 0.6620 and moved into a bearish zone. The Caixin China Manufacturing PMI in August 2018 declined from 50.8 to 50.6.
GBP/USD Technical Analysis
This past week, there was a solid rally in the British Pound from the 1.2800 support area against the US Dollar. The GBP/USD pair traded above the 1.2880 and 1.2950 resistance levels to move into a bullish zone.
The pair also broke the 1.3000 level and traded as high as 1.3043. Later, buyers failed to hold gains above the 1.3020 level, resulting in a push below the 1.3000 handle and the 50 hourly simple moving average.
Read more: https://blog.fxopen.com/gbp-usd-and-nzd-usd-upsides-could-be-capped/