GBP/USD Price Analysis: Defends 1.4200 during another battle with key hurdle

GBP/USD bulls take a breather round the weekly top.
Receding bullish bias of MACD battles sustained trading beyond 21-day EMA.
1.4245 becomes strong resistance, ascending line from November 2020 adds to downside filters.
GBP/USD seesaws round the week’s top, clinging to 1.4200 lately , during the first Asian session on Friday. The cable pair marked the heaviest jump in three weeks the previous day, to not forget bouncing off 21-day EMA. However, sluggish MACD and therefore the key hurdle around 1.2235-45 probes the Sterling buyers.

Given the fading strength of bulls, per MACD, including the nearness to the strong resistance, GBP/USD may witness a pullback towards retesting the 21-day EMA support, around 1.4085 by the press time.

Also acting because the important short-term support might be the three-month-old horizontal area around 1.4010–4000, an opportunity of which can highlight a six-month-old ascending support line near 1.3900.

Meanwhile, a transparent run-up beyond the 1.4245 hurdle will propel GBP/USD towards April 2018 top surrounding 1.4375 wherein the 1.4300 round-figure could offer an intermediate halt.

It’s worth mentioning that the GBP/USD could confirm the three-year-long rounding bottom bullish chart formation on the successful break of 1.4375, which successively could lead on buyers toward the 2014 levels above 1.6000.


Read Previous

AUD/USD still locked within the 0.7680-0.7830 range – UOB

Read Next

EUR/USD teases 1.22 on USD pullback, German HICP inflation eyed

Leave a Reply

Your email address will not be published. Required fields are marked *