Economic Calendar
Continuing previous week trend, 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 shows a bullish recovery following a period of consolidation. After bottoming near the 1.3410 support level on January 10th, the pair has climbed to its current price of 1.34547, recently crossing above the 50-period SMA green. This suggests short-term momentum is shifting upward; however, the price is currently testing immediate dynamic resistance at the 100-period SMA orange. A successful breakout above this cluster and the 200-period SMA red at 1.34692 would confirm a trend reversal toward the 1.3520 range.
Hourly Chart
GBP/USD daily candle chart analysis
GBP/USD on the daily chart is showing a neutral to mildly bullish structure. Price has recovered from the November low and is now consolidating just below recent highs, indicating a pause rather than a reversal.The 50-day moving average is rising near 1.3300 and continues to act as near-term support. The 100-day moving average around 1.3360 is acting as a pivot area, with price repeatedly testing it but struggling to establish strong acceptance above it.Resistance is clearly defined in the 1.3520–1.3550 zone, where previous rallies have stalled. A stronger, longer-term resistance level sits near 1.3790. On the downside, initial support is around 1.3360, followed by the 1.3300 area. A deeper pullback could expose the psychological 1.3000 level. Recent candles show smaller bodies and overlapping ranges, which reflects consolidation and indecision. If price achieves a daily close above 1.3550, bullish momentum could extend toward 1.37 and 1.38. Conversely, a daily close below 1.3300 would weaken the structure and increase the risk of a move toward 1.31 or 1.30.
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Traders are short
The sentiment for GBP/USD shows that only about 26% of traders are long, while a strong 74% are short, indicating a predominantly bearish trader positioning. This suggests many traders expect the pair to weaken in the near term, despite any short-term rallies.