GBP/USD: Overbought conditions

GBP/USD Tuesday's four-hour chart is showing overbought conditions, as FXStreet’s analyst Yohay Elam notes.

Key quotes 

“The Relative Strength Index on the four-hour chart is just above 70 – indicating overbought conditions. On the other hand, momentum is to the upside and the currency pair trades above the 50, 100, and 200 Simple Moving Averages.” 

“The daily high of 1.2575 is the immediate resistance line. It is followed by 1.2635 and 1.2710.”

“Support awaits at 1.2490, which was a stubborn cap in late March and early April. It is followed by 1.24, a psychologically significant level which is also the confluence of the 50 and 200 SMAs.”