GBPUSD Technical analysis: slowdown in trading and the beginning of a downward trend

 

European session, date: 07/18/2024

Introduction and overview

The pound-dollar GBP/USD pair witnessed a slowdown in trading during the American and Asian sessions yesterday, while today the European session began to show signs of a downward trend. The GBP/USD pair is currently trading at $1.2994, indicating potential changes in the market. The GBP/USD pair is currently trading below most of the moving average crossovers, reinforcing the bearish outlook for the market. In addition, the MACD is showing weakening bullish momentum, increasing the possibility of a continuation of the downtrend. This analysis reflects recent changes in the market, as the pound shows weakness against the US dollar.

GBPUSD Technical analysis

Trading strategies based on Buy/Sell levels

GBPUSD In case of buying in case of selling
Entry point 1.3000 1.2983
Point 1 (TP1) First resistance: 1.3030 First support:   1.2956
Target Point 2 (TP2) Second resistance: 1.3060 Second support: 1.2930
Stop Loss (SL) 1.2983 1.3000

 

Conclusion

Despite the noticeable slowdown in the narrow trading range, technical indicators show positive signs regarding the continuation of the upward trend in the GBP/USD pair. A break above $1.3006 remains an important signal to confirm this trend, while support at $1.2952 remains a crucial level to watch carefully.

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