At mid-day on Friday, the pair was highly volatile between the support of the 50-hour simple moving average near 1.2540 and the resistance of the 100 and 200-hour simple moving averages near 1.2575. Economic Calendar
On Friday, the US Consumer Price Index release at 12:30 GMT is set to impact all financial markets through the value of the USD.
GBP/USD short-term review
If the Pound surges against the US Dollar above the 100 and 200-hour simple moving averages and the weekly simple pivot point at 1.2588, resistance could be met in the last week's high levels at 1.2660. Higher above, note the 1.2700 mark and the weekly R1 simple pivot point at 1.2706.Meanwhile, a potential decline of the pair is expected to look for support in the 1.2520 level, the weekly S1 simple pivot point at 1.2510, the 1.2500 mark and the low level zone at 1.2460/1.2480.
Hourly Chart
GBP/USD daily chart's review
On the daily candle chart, the rate has passed above the resistance line of the larger scale channel down pattern, which has guided the rate's decline since early February. Moreover, the pair confirmed the previous resistance as support.Next target for the surge was the 50-day simple moving average near 1.2700. Higher above, note the March and April support zone near 1.3000. Namely, the 1.3000 mark could act as resistance.
Daily chart
Read More: Technical Analysis
Traders are short
On Friday, traders were 56% bearish, as 56% of trader open position volume on the Swiss Foreign Exchange was in short positions.
In the meantime, pending orders in a 100-base point range around the pair were 68% to sell the GBP/USD.
On Friday, traders were 56% bearish, as 56% of trader open position volume on the Swiss Foreign Exchange was in short positions.
In the meantime, pending orders in a 100-base point range around the pair were 68% to sell the GBP/USD.