GBPUSD Technical Analysis: The British pound continues its rise for the fourth consecutive day, supported by positive economic data, most notably a better-than-expected increase in UK GDP for the first quarter, along with a recovery in industrial and services production.
At the same time, the relative weakness of the US dollar, due to expectations of a rate hike at the upcoming Federal Reserve meetings, following balanced inflation data, provided additional support to its counterparts, especially the pound
Technical Indicator Analysis
Moving Averages
Price is above all moving averages (50, 100, and 200).
Uptrend line remains intact.
MACD
Positive momentum continues.
No signs of weakness or negative crossover.
Stochastic
Trading in the overbought zone above 80.
Limited technical correction potential before resuming the upward trend.
Possible Scenarios
Bullish Scenario
A break above 1.3255 paves the way for 1.3280 – 1.3300.
Provided stability above 1.3200.
Bearish Scenario
a failed breakout could lead to a correction towards 1.3200.
A break above 1.3179 will temporarily weaken momentum.
Trading strategies based on Buy/Sell levels
| In case of buying | in case of selling | GBPUSD |
| 1.32432 | 1.32009 | Entry point |
| First resistance: 1.32651 | First support: 1.31794 | Target Point 1 (TP1) |
| Second resistance 1.32452 | Second support 1.31559 | Target Point 2 (TP2) |
| 1.32009 | 1.32432 | Stop Loss (SL) |
The GBP/USD pair is exhibiting a technically perfect uptrend pattern, supported by strong economic fundamentals.
A break above 1.3255 will provide a fresh boost for the pair, while a pullback from this area could provide a fresh buying opportunity at support.
Buying on a successful retest of support or a confirmed break above resistance is recommended, with strict risk management.
