Economic Calendar
Moderate volatility levels may be anticipated may be expected due to upcoming data releases from United States and United Kingdom.
GBP/USD hourly chart analysis
GBP USD pair is exhibiting a short-term bullish trend as the price is trading above the rising 50, 100 and 200 Simple Moving Averages. The pair is currently consolidating near 1.33795 effectively finding support along the green 50 SMA following a minor pullback from recent highs. Immediate downside protection is provided by the orange 100 SMA near 1.33564 and the red 200 SMA near 1.33420 which acts as the major trend floor. If the price maintains its footing above these averages the technical outlook favors a move back up toward the resistance level at 1.34350 whereas a break below 1.33420 would signal a potential trend reversal toward 1.33100.
Hourly Chart
GBP/USD daily candle chart analysis
GBP USD is navigating a pivotal technical juncture where short term bullish momentum is colliding with a significant long term resistance level. On the daily time frame the price is testing the green 100 SMA near 1.33810 which serves as a critical barrier that must be broken to confirm a broader trend reversal toward 1.37570 while the red 50 SMA near 1.32512 acts as the primary downside support. The hourly chart reinforces this bullish potential as the price is trading above the 50 100 and 200 moving averages indicating that buyers are currently in control intraday.Read More: Technical Analysis
Traders are long
This technical setup is reinforced by contrarian sentiment analysis which shows that nearly 74% of retail traders are holding short positions suggesting a market imbalance that often precedes a sustained upward movement if the overhead resistance is breached.