GBP/USD Price Analysis: Bulls await a move beyond descending trend-line resistance

  • GBP/USD staged a goodish intraday bounce of around 85 pips from sub-1.3000 levels.
  • The intraday positive move stalled near a three-day-old descending trend-line resistance.
  • The technical set-up still favours bullish traders and supports prospects for additional gains.

The GBP/USD pair showed some resilience below 200-hour SMA and staged a goodish intraday bounce of around 85 pips from levels below the key 1.3000 psychological mark. The momentum pushed the pair to fresh session tops, around the 1.3075 region in the last hour, albeit stalled near a three-day-old descending trend-line resistance.

Meanwhile, technical indicators on the 1-hourly chart have again started moving into positive territory. Adding to this, bullish oscillators on daily/4-hourly charts now support prospects for a further near-term appreciating move. That said, bulls might still need to wait for a sustained move beyond the mentioned trend-line hurdle.

A convincing breakthrough has the potential to lift the GBP/USD pair beyond the 1.3100 round-figure mark, towards testing last week's daily closing highs resistance near the 1.3140-45 region. This is closely followed by a resistance marked by the 61.8% Fibonacci level of the 1.3482-1.2676 pullback, or the recent swing highs near the 1.3175 region.

Some follow-through buying will be seen as a fresh trigger for bullish traders and pave the way for a move to retest the 1.3235 horizontal resistance. The momentum could further get extended towards the 1.3300 mark en-route the next major hurdle near the 1.3320 region.

On the flip side, immediate support is now pegged near the 1.3020 region ahead of the 1.3000 mark (200-hour SMA) and 38.2% Fibo. level, around the 1.2980 region. Failure to defend the mentioned support levels will support prospects for an extension of the recent downfall and accelerate the fall towards the 1.2900 round-figure mark.

Some follow-through selling will negate any near-term positive bias and turn the pair vulnerable. Bears might then drag the pair below the 23.6% Fibo. level, around the 1.2865 area, and the 1.2800 mark, towards challenging the very important 200-day SMA, around the 1.2710-1.2705 zone.

GBP/USD 1-hourly chart


Technical levels to watch


Today last price 1.3058
Today Daily Change 0.0022
Today Daily Change % 0.17
Today daily open 1.3036
Daily SMA20 1.2961
Daily SMA50 1.3014
Daily SMA100 1.286
Daily SMA200 1.271
Previous Daily High 1.3123
Previous Daily Low 1.3019
Previous Weekly High 1.3177
Previous Weekly Low 1.2895
Previous Monthly High 1.3482
Previous Monthly Low 1.2676
Daily Fibonacci 38.2% 1.3059
Daily Fibonacci 61.8% 1.3083
Daily Pivot Point S1 1.2996
Daily Pivot Point S2 1.2956
Daily Pivot Point S3 1.2892
Daily Pivot Point R1 1.3099
Daily Pivot Point R2 1.3163
Daily Pivot Point R3 1.3203



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

AUD/USD sits at two-month highs near 0.7375

AUD/USD keeps its range near two-month highs of 0.7375 despite a big miss on the Australian Q3 Capex data. The bulls retain control as the US dollar remains on the back foot across the board, in the face of renewed US economic growth concerns. 


USD/JPY revisits Wednesday's low as weak US data keeps dollar under pressure

USD/JPY drops over 20 pips in Asia to test Wednesday's low. USD/JPY is feeling the pull of gravity with the dollar drawing offers, possibly on disappointing US data released Wednesday. Disappointing US jobs data and dovish Fed minutes weigh over the dollar.


Gold hovers within the range of Wednesday's Doji candle

Gold's daily chart shows signs of indecision in the market. Wed's high and low are levels to beat for bulls and bears, respectively. A Doji candle represents indecision in the market and makes the following day's close pivotal.

Gold news

Markets return to normal, and traders may be loving it

Calendar comeback – currencies begin moving to the tune of economic indicators, a welcome return for traders. Valeria Bednarik, Joseph Trevisani, and Yohay Elam discuss the latest market moves and what to expect in the final stretch of 2020 and beyond.

Read more

Black Friday 2020 Discounts!

Learn to trade with the best! Don't miss the most experienced traders and speakers in FXStreet Premium webinars. Also if you are a Premium member you can get real-time FXS Signals and receive daily market analysis with the best forex insights!

More info