GBP/USD technical analysis: Eyes key hurdle above 1.25 after biggest single-day gain since March

GBP/USD's daily chart shows a falling wedge breakout.
The breakout is backed by bullish readings on key indicators.

Omkar Godbole FXStreet Contributor

GBP/USD jumped 1.85% on Thursday, the biggest single-day gain since March 19.

The pair is currently trading largely unchanged on the day at 1.2436, having hit a 15-day high of 1.2469 in the overnight trade.

The daily chart is reporting a falling wedge breakout - a bullish reversal pattern, which indicates the pullback from Sept. 20's high of 1.2582 has ended and the rally from Sept. 3'slow of 1.1958 has resumed.

The pair, therefore, could challenge the resistance of the trendline falling from March highs in the short-term. As of writing, the trendline resistance is located at 1.2550.

The 14-day relative strength index has moved back above 50 and the MACD histogram has crossed above the zero line, supporting the bullish case.

Daily chart

Trend: Bullish

Technical levels

GBP/USD

Overview
Today last price	1.2436
Today Daily Change	-0.0008
Today Daily Change %	-0.06
Today daily open	1.2444

Trends
Daily SMA20	1.2375
Daily SMA50	1.2262
Daily SMA100	1.2413
Daily SMA200	1.2715

Levels
Previous Daily High	1.247
Previous Daily Low	1.2204
Previous Weekly High	1.2414
Previous Weekly Low	1.2205
Previous Monthly High	1.2583
Previous Monthly Low	1.1958
Daily Fibonacci 38.2%	1.2368
Daily Fibonacci 61.8%	1.2305
Daily Pivot Point S1	1.2275
Daily Pivot Point S2	1.2107
Daily Pivot Point S3	1.201
Daily Pivot Point R1	1.2541
Daily Pivot Point R2	1.2638
Daily Pivot Point R3	1.2806

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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