GBP/USD Price Analysis: Surges through 1.2500 mark, spikes to 1-month tops

GBP/USD gains some strong positive traction and breaks through the 1.2480-85 resistance.
A subsequent strength beyond the 1.2500 mark now supports prospects for additional gains.

Haresh Menghani FXStreet

The GBP/USD pair finally broke out of its Asian session consolidation phase and spiked to one-month tops, around the 1.2530 region in the last hour.

A sustained move beyond the 1.2480-85 horizontal resistance turned out to be one of the key factors that prompted some aggressive short-covering move.

A subsequent strength beyond the key 1.2500 psychological mark might now be seen as a fresh trigger for bullish traders and supports prospects for additional gains.

Hence, some follow-through positive move, towards testing 50-day SMA around the 1.2585 region, now looks a distinct possibility amid some USD selling bias.

Meanwhile, the fact that technical indicators on the daily chart have just started gaining positive momentum further adds credence to the bullish outlook.

However, oscillators on hourly charts have already moved on the verge of breaking into the overbought territory and warrant some caution for aggressive traders.

GBP/USD 1-hourly chart

Technical levels to watch

GBP/USD

Overview
Today last price	1.2528
Today Daily Change	0.0075
Today Daily Change %	0.60
Today daily open	1.2453

Trends
Daily SMA20	1.2132
Daily SMA50	1.2597
Daily SMA100	1.2835
Daily SMA200	1.2656

Levels
Previous Daily High	1.2487
Previous Daily Low	1.2445
Previous Weekly High	1.2487
Previous Weekly Low	1.2165
Previous Monthly High	1.3201
Previous Monthly Low	1.1412
Daily Fibonacci 38.2%	1.2461
Daily Fibonacci 61.8%	1.2471
Daily Pivot Point S1	1.2436
Daily Pivot Point S2	1.242
Daily Pivot Point S3	1.2395
Daily Pivot Point R1	1.2478
Daily Pivot Point R2	1.2503
Daily Pivot Point R3	1.252

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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