GBP/USD Price Analysis: Wednesday's Doji teases bulls around 1.3800

GBP/USD holds on to corrective bounce off weekly low.
Bullish candlestick above 200-DMA favors further consolidation of previous losses.
Falling wedge confirmation could bolster the recovery moves.

Anil Panchal FXStreet

GBP/USD remains sidelined near 1.3800 amid Thursday’s Asian session, following a volatile day that marked a candlestick suggesting trend-reversal.

The odds of the pair’s up-moves also benefit from the moves beyond 200-DMA, as well as inside the falling wedge bullish chart pattern. Additionally, the receding bearish bias of the MACD also keeps the cable buyers hopeful.

It should, however, be noted that the upper line of a three-week-old falling wedge, near 1.3875 will initially test the anticipated recovery, a break of which could propel GBP/USD bulls to the 1.4000 psychological magnet.

Though, a five-week-old falling trend line near 1.4035 could challenge the pair’s further upside.

Meanwhile, pullback moves may aim for the latest trough surrounding 1.3730 ahead of highlighting the support line of the wedge, close to the 1.3700 round figure.

It’s worth observing that the GBP/USD sellers will have to conquer the 200-DMA level of 1.3668 to dominate further even if they manage to defy the bullish chart formation by breaking the 1.3700 support.

GBP/USD: Daily chart

Trend: Recovery expected

Additional important levels

Overview
Today last price	1.3804
Today Daily Change	0.0004
Today Daily Change %	0.03%
Today daily open	1.38

Trends
Daily SMA20	1.3937
Daily SMA50	1.4025
Daily SMA100	1.395
Daily SMA200	1.366

Levels
Previous Daily High	1.3898
Previous Daily Low	1.3773
Previous Weekly High	1.394
Previous Weekly Low	1.3732
Previous Monthly High	1.4249
Previous Monthly Low	1.3787
Daily Fibonacci 38.2%	1.3821
Daily Fibonacci 61.8%	1.3851
Daily Pivot Point S1	1.3749
Daily Pivot Point S2	1.3699
Daily Pivot Point S3	1.3624
Daily Pivot Point R1	1.3874
Daily Pivot Point R2	1.3949
Daily Pivot Point R3	1.3999

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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