FX.co ★ GBP/USD Hot Forecast for 8 December

The GBP/USD pair remained depressed through the early European session and refreshed daily lows, around the 1.3330 region in the last hour.

The pair failed to continue on the previous day's solid intraday rebound from the 1.3225 region, over two-week lows and met with some fresh supply during the early part of the trading action on Tuesday. As investors await fresh Brexit-related updates, the recovery pickup in the US dollar demand was seen as one of the key factors exerting some pressure on the GBP/USD pair.

From a technical perspective, last week's push below the 1.3300 round figure mark horizontal support was false breakout. The bearish break through over two-month-old ascending trend-channel. However, the emergence of some dip-buying warrants some caution for bearish traders.

The pair might then turn vulnerable and accelerate the fall towards the 1.3225 region. This is followed by support near the 1.3200 mark, which if broken decisively should pave the way for an extension of the corrective slide. 1.3400 region now seems to act as immediate resistance added with the retest of the resistance of the ascending trend-line .This coincides with the Fibonacci 50%-61.8% retracement . A sustained strength below 1.330 will cause a near-term negative bias

On the flip side, the 1.3400-1.3410 region now seems to act as immediate resistance. Some follow-through buying has the potential to push the pair back towards the key 1.3500 psychological mark.