GBP/USD consolidating after growth

2 January, 2019

  • Prev Open: 1.26916
  • Open: 1.27172
  • % chg. over the last day: +0.28
  • Day's range: 1.27100 – 1.27727
  • 52 wk range: 1.2477 – 1.4378

GBP/USD is consolidating after a sudden growth during the current week. The pound is testing the key support and resistance levels: 1.27350 and 1.27700. The trading instrument has prospects for further recovery. We expect important stats on the UK economy. Positions should be opened from the key levels.

At 11:30 (GMT+2:00) the UK will publish a report on the business activity in the industrial sector.

The price fixed above 50 MA and 200 MA which points toward the power of the buyers.

The MACD histogram is in the positive zone but below the signal line, which gives a weak signal to purchase EUR/USD.

The Stochastic Oscillator is in the neutral zone, the %K line is crossing the %D line. There are no signals at the moment.

Trading recommendations

  • Support levels: 1.27350, 1.27000, 1.26700
  • Resistance levels: 1.27700, 1.28000

If the price fixes above 1.27700, expect further growth of the EUR/USD quotes. The movement will tend toward 1.28000-1.28300.

Alternatively, the currency pair can descend toward 1.27000.

Source   Presented by JustForex
GBP/USD: steady push higher, next resistance at 1.289428 Jul, 2020  

GBP/USD broke above the June high at 1.2808/17 yesterday and analysts at Credit Suisse stay biased higher though the cable is posting small losses today...

GBP/USD eases from multi-month tops27 Jul, 2020  

The heavily offered tone surrounding the USD assisted GBP/USD to add to last week's gains. Concerns about rising COVID-19 cases, worsening US-China...

Will the GBP get stronger on PMIs?21 Jul, 2020  

The GBP is in a hard position now - as it apparently will be during the entire 2020. On the one hand, the British authorities are coming up with strong monetary...

Trade deal may not benefit the pound14 Jul, 2020  

The British pound has kicked off the week on a good note after reports surfaced over the weekend that the EU's chief Brexit negotiator, Michel Barnier...

Pound pressured by no deal scenario1 Jul, 2020  

The British Pound is under further pressure in today's trading session against its European counterpart after fears have once again risen, that the UK...

Sterling Under Pressure as GDP Weakens30 Jun, 2020  

Sterling was under pressure in early European trade Tuesday, with the release of the final gross domestic production figure suggesting that the contraction...

Big day ahead for pound19 Jun, 2020  

Analysts are unanimous in their predictions that the BOE will keep interest rates on hold at 0.1 percent, and are pretty certain on how much further quantative...

Sterling sets aside Brexit risks2 Jun, 2020  

GBPUSD is trading around its highest levels in a month, having briefly breached the 1.25 psychological level. Sterling, along with the rest of its G10 peers...

Pound jumps on Brexit breakthrough27 May, 2020  

The British Pound is trading steadily in today's trading session, after yesterday's jump following news of a further easing in lockdown measures surrounding...