GBP/USDMarket NewsTechnical Analysis

GBP/USD: Up Trend Finds a Resistance

GBP/USD Recovery
  • GBP/USD has been heading towards the North gradually.
  • The SMA 30 has been working as a support on the H4 chart.
  • The H1 chart has been on an uptrend by obeying a trend line.
  • Intraday minor charts have been choppy.
GBP/USD H4 Chart
GBP/USD H4 Chart

GBP/USD – Technical Analysis- H4 Chart

The chart shows that the price has been gradually heading towards the North. The simple moving average 30 has been working as a support. The chart shows that the price has enough space to continue its move. Thus, the buyers may be interested to go long in the pair and push the price towards the upside further. It may find its next resistance around 1.27600.

On the contrary, if the price breaches the SMA 30, the sellers may take their chances to go short in the pair. In that case, it may find its support around 1.25700. As things stand with the pair, it may take time to happen.

GBP/USD H1 Chart
GBP/USD H1 Chart

Price Action Analysis- H1 Chart

The chart shows that an up-trending trend line has been pushing the price towards the North. At the last bounce, it produced a bullish engulfing candle and made a move towards the last swing high. However, the price could not breach the swing high. It rather has found its resistance around it. Thus, the buyers may wait for the price to either breach that level or to produce a bullish reversal pattern at the trend line’s support to go long in the pair.

The sellers may skip taking entry based on this chart. Unless, it makes a bearish breakout at the trend line’s support, they may not find any short opportunities with lucrative risk-reward.

Written by: Md Tareq Sikder, Senior Analyst Forex Prop News

Contact and follow Tareq on Twitter: @tareqfpn

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