GBP/USD Price Analysis: Bears running out of steam ahead of UK GDP

• GBP/USD remains sidelined around two-year low, maintains weekly falling channel.
• Sluggish RSI, MACD tests further downside around channel’s support.
• Multiple hurdles to the north challenge recovery move unless crossing 1.2415.
• UK’s monthly data dump includes preliminary readings of Q1 GDP, making it the key.

GBP/USD takes rounds to the lowest levels since June 2020 as traders await the UK Q1 GDP during Thursday’s Asian session. In doing so, the cable pair stays inside a one-week-old descending trend channel, flirting with the 1.2250 level by the press time.

Also read: UK GDP Preview: BOE’s R-word to overshadow a mild expansion

That said, the support line of the stated channel, around 1.2235-40, joins nearly oversold RSI and sluggish MACD to challenge the GBP/USD pair’s immediate moves.

Should the quote bounces back from the latest multi-month low, a convergence of the channel’s upper line and three-week-old descending trend line, around 1.2385-80, will test the rebound. Also acting as an immediate upside hurdle is the 50-SMA level surrounding 1.2415.

Hence, the GBP/USD bears seek more clues after traveling a long distance. However, the bulls have a bumpy road to travel and remain unwelcomed before crossing 1.2415.

Should the quote rises past 1.2415, early May’s top surrounding 1.2640 should be on the GBP/USD pair buyer’s radar.

GBP/USD: Four-hour chart

Trend: Corrective pullback expected