Overview:
- Today, the GBP/USD pair has broken resistance at the level of 1.4250 which acts as support now. Thus, the pair has already formed minor support at 1.4250.The strong support is seen at the level of 1.4122 because it represents the weekly support 1. Equally important, the RSI and the moving average (100) are still calling for an uptrend. Therefore, the market indicates a bullish opportunity at the level of 1.4250 in the H1 chart. Also, if the trend is buoyant, then the currency pair strength will be defined as following: GBP is in an uptrend and USD is in a downtrend. Buy above the minor support of 1.4250 with the first target at 1.4312 (this price is coinciding with the ratio of 61.8% Fibonacci), and continue towards 1.4386 (the weekly resistance 1). On the other hand, if the price closes below the minor support, the best location for the stop loss order is seen below 1.4250; hence, the price will fall into the bearish market in order to go further towards the strong support at 1.4122 to test it again. Furthermore, the level of 1.4149 will form a double bottom.
The weekly technical analysis of GBP/USD pair:
