FXstreet.com (Córdoba) - After a sideways consolidation phase below the 1.5800 mark, the Cable managed to pick up momentum and broke to the upside, turning positive on the day and hitting a high of 1.5834.
Underpinned by broad USD weakness, GBP/USD climbed more than 80 pips from daily lows and briefly peeped above the 100-hour SMA before stabilizing around 1.5825, where it records a 0.2% gain on Tuesday.
"Daily chart for GBP/USD shows the 1.5911 high posted past week converges with the 61.8% retracement of this year slide, turning the level into a key breakout point", says Valeria Bednarik, chief analyst at FXstreet.com. "While not expected for today, the level can surely be took out over the upcoming days: a daily close around 1.5920, should be enough to set a clearer bullish path for September, with short term targets at 1.5980, congestion zone, and later, 1.6060 area".
"Downward pressure may increase once the pair breaches 1.5730/50 support area, yet only below 1.5660, 38.2% retracement of the same rally, sellers will take control of the pair", the analyst adds.
Underpinned by broad USD weakness, GBP/USD climbed more than 80 pips from daily lows and briefly peeped above the 100-hour SMA before stabilizing around 1.5825, where it records a 0.2% gain on Tuesday.
"Daily chart for GBP/USD shows the 1.5911 high posted past week converges with the 61.8% retracement of this year slide, turning the level into a key breakout point", says Valeria Bednarik, chief analyst at FXstreet.com. "While not expected for today, the level can surely be took out over the upcoming days: a daily close around 1.5920, should be enough to set a clearer bullish path for September, with short term targets at 1.5980, congestion zone, and later, 1.6060 area".
"Downward pressure may increase once the pair breaches 1.5730/50 support area, yet only below 1.5660, 38.2% retracement of the same rally, sellers will take control of the pair", the analyst adds.
