GBP/USD outlook: Cable rises for the second day despite downbeat UK GDP data

Slobodan Drvenica Windsor Brokers

GBP/USD

Cable keeps bullish tone for the second straight day and hit weekly high above 1.33 mark, following minor negative impact from weaker than expected.

UK GDP and improved sentiment on expectations that Omicron may cause limited damage to the economy that revived risk appetite.

Fresh bulls eye pivotal barrier at 1.3337 (50% retracement of 1.3513/1.3161 bear-leg/Daily Kijun-sen), close above which would sideline larger bears and open way for a stronger correction.

Broken 20DMA offers solid support at 1.3266, with close above here required to keep near-term bias with bulls.

Rising 14-d momentum is breaking into positive territory and supporting the action.

Res: 1.3337; 1.3353; 1.3379; 1.3430.
Sup: 1.3266; 1.3240; 1.3197; 1.3164.

Interested in GBP/USD technicals? Check out the key levels

1. R3 1.3367
2. R2 1.3319
3. R1 1.3294
PP 1.3246
1. S1 1.3221
2. S2 1.3173
3. S3 1.3148

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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