GBP/USD Price Analysis: Spikes to fresh session tops, retakes 1.3900 mark and beyond

GBP/USD caught some aggressive bids during the early European session.
The momentum pushed the pair back above the 1.3900 round-figure mark.

Haresh Menghani FXStreet

The GBP/USD pair rallied around 70 pips from the early European session lows near the 1.3840 region and refreshed daily tops in the last hour. Bulls are now be looking to build on the momentum further beyond the 1.3900 round-figure mark.

From a technical perspective, this week's pullback from 34-month tops, around mid-1.3900s dragged the GBP/USD pair below a near two-week-old ascending trend-line support on Wednesday. The corrective slide, however, stalled on Thursday and the pair managed to attract some dip-buying near 200-hour SMA.

The mentioned support is currently pegged near the 1.3835-30 region, which should now act as a key pivotal point for traders and help determine the GBP/USD pair's near-term trajectory.

Meanwhile, the intraday bounce pushed the GBP/USD pair back towards the mentioned trend-line support breakpoint, now turned resistance. A sustained move beyond will negate any near-term bearish bias and push the pair back towards the 1.3950 area, or the highest level since April 2018 touched on Tuesday.

On the flip side, the 100-hour SMA, around the 1.3880 region, now seems to protect the immediate downside. This is followed by support near the 1.3835 area (200-hour SMA), which if broken might prompt some technical selling and pave the way for a further near-term depreciating move.

The GBP/USD pair might then turn vulnerable to break below the 1.3800 mark. Any subsequent slide might still be seen as a buying opportunity and remain limited near the 1.3760-55 region.

GBP/USD 1-hourly chart

Technical levels to watch

GBP/USD

Overview
Today last price	1.3912
Today Daily Change	0.0048
Today Daily Change %	0.35
Today daily open	1.3864

Trends
Daily SMA20	1.3752
Daily SMA50	1.3622
Daily SMA100	1.3379
Daily SMA200	1.3065

Levels
Previous Daily High	1.3911
Previous Daily Low	1.383
Previous Weekly High	1.3866
Previous Weekly Low	1.368
Previous Monthly High	1.3759
Previous Monthly Low	1.3451
Daily Fibonacci 38.2%	1.3861
Daily Fibonacci 61.8%	1.388
Daily Pivot Point S1	1.3825
Daily Pivot Point S2	1.3787
Daily Pivot Point S3	1.3744
Daily Pivot Point R1	1.3906
Daily Pivot Point R2	1.3949
Daily Pivot Point R3	1.3988

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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