With the Federal Reserve likely to implement monetary policy that is already fully anticipated, the dollar has a bearish outlook. This suggests that the GBPUSD market is targeting a previously reached resistance. Let’s take a closer look.
Key Price Levels:
Resistance Levels: 1.3300, 1.3500, 1.3700
Support Levels: 1.3200, 1.3000, 1.2800
GBPUSD Trades Above an Important Level
Price action in the GBPUSD market saw a moderate upside price increase in the previous session. However, the current session, as expected, reacted with a price retracement. We can see that the pair continues to trade above all the Guppy Multiple Moving Average (GMMA) lines.
The ongoing session remains above the 1.3200 threshold and at a considerable distance above the GMMA lines. Similarly, the Stochastic Relative Strength Index (Stochastic RSI) lines still rise upward from the oversold region. Technically, upside forces are more dominant, and the market seems likely to head upward subsequently.
GBPUSD Maintains a Cool Approach Toward Its Target
The GBPUSD chart has revealed that price action has recorded consistent but minimal gains. Nevertheless, the ongoing session has seen a minor downward retracement, yet the market stays above all the GMMA lines. This minimizes the threat posed by the contrary price movement.
The Stochastic RSI lines are still in the overbought region, although the terminal part has taken a slight downward trajectory. This can be regarded as a prompt reaction to the price movement in the session. On a broader scale, the market maintains a bullish outlook considering relevant sentiments and the position of price action. Therefore, traders can aim at the 1.3262 price level once more.
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