The GBP/USD pair continues its strong performance, supported by a weaker US dollar and increased risk appetite in global markets. The pair is currently trading in a clear uptrend on the H1 timeframe, with a strong hold above the moving averages and new highs.
The positive performance of the British pound came after strong UK inflation data released earlier this week, which prompted the market to price in the possibility of monetary policy tightening by the Bank of England. Conversely, the US dollar is facing pressure due to growing expectations of a rate hike in the coming period.
Current Trading Rates
- Current price: 1.3288
- Today’s high: 1.3289
- Today’s low: 1.3265
- General trend: Steadily bullish
GBP/USD Technical Analysis
The chart shows a strong upward trajectory since April 9, with higher highs and lows continuing to form. The price is moving above the moving averages, confirming the strength of the trend.
Technical Indicators:
- MACD: Shows strong buying momentum with bars remaining in the positive zone.
- Stochastic: Trading above 80, indicating continued buying pressure, despite approaching overbought conditions.
- 20- and 50-day EMAs: Rising curves support the positive trend.
Technical Outlook for Today
As long as the price remains above 1.3227, the uptrend will remain dominant, and we may witness a breakout of 1.3318, reaching the strategic resistance level of 1.3366.
Suggested Trading Strategy:
- Buy from levels near or after a break of 1.3318
- Targets: 1.3366 – 1.3400
- Stop Loss: Break of 1.3191 with an hourly candle
- Sell Alternative: A strong negative reversal below 1.3227 may open the way for a limited correction.
Trading strategies based on Buy/Sell levels
| GBPUSD | In case of buying | in case of selling |
| Entry point | 1.32182 | 1.32275 |
| Target Point 1 (TP1) | First resistance: 1.33665 | First support: 1.31913 |
| Target Point 2 (TP2) | Second resistance: 1.33852 | Second support : 1.31821 |
| Stop Loss (SL) | 1.32275 | 1.32182 |
The GBP/USD pair is moving in a clear and steady direction, supported by positive technical and fundamental factors. Continued stability above key support will enhance the chances of continued upward movement, especially in light of the overall decline in the dollar.
