GBP/USD Price Analysis: Eyes a rally towards 1.3800, with bull pennant in play


  • GBP/USD breaks the consolidation to the upside, 1.38 in focus.
  • The cable confirmed a bull pennant breakout on the hourly sticks.
  • RSI remains flatlined but holds well above the midline.

GBP/USD is looking to extend its break higher towards the 1.3800 level, with the bulls likely to meet initial demand at the slightly downward-sloping 200-Hourly Moving Average (HMA) at 1.3779.

The upside bias appears more compelling, as the cable has charted a bull pennant breakout on the hourly sticks, following a sustained break above the rising trendline resistance at 1.3709.

The Relative Strength Index (RSI) is holding flattish but comfortably above the midline, suggesting that there is more room for the bulls to flex their muscles.

An impending bull cross, with the 21-HMA about to cut the 100-HMA from below, also adds credence to the move higher.

GBP/USD: Hourly chart

Alternatively, a sustained break below the 1.3705 would invalidate the bullish continuation pattern, opening floors towards a test of the downward-pointing 100-HMA at 1.3698.

The 1.3650 psychological level will be next on the sellers’ radars.

GBP/USD: Additional levels

GBP/USD

Overview
Today last price 1.3725
Today Daily Change 0.0014
Today Daily Change % 0.10
Today daily open 1.3712
 
Trends
Daily SMA20 1.3813
Daily SMA50 1.3986
Daily SMA100 1.3927
Daily SMA200 1.3706
 
Levels
Previous Daily High 1.3723
Previous Daily Low 1.3591
Previous Weekly High 1.391
Previous Weekly Low 1.3761
Previous Monthly High 1.4249
Previous Monthly Low 1.3787
Daily Fibonacci 38.2% 1.3673
Daily Fibonacci 61.8% 1.3642
Daily Pivot Point S1 1.3628
Daily Pivot Point S2 1.3543
Daily Pivot Point S3 1.3496
Daily Pivot Point R1 1.376
Daily Pivot Point R2 1.3807
Daily Pivot Point R3 1.3892

 

 

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