OctaFX | OctaFX Forex Broker
Open trading account
Back

GBP/USD Price Analysis: Monthly falling trendline caps latest recovery

  • GBP/USD pulls back from the weekly high, takes a U-turn from near-term key resistance line.
  • 23.6% Fibonacci retracement, six-week-old rising trend line are on sellers’ radar.

GBP/USD remains modestly changed to 1.3090 during the Asian session on Friday. The pair earlier bounced off a multi-week-old support line on the back of the BOE decision. However, bulls failed to cross near-term key resistance.

Even so, the bullish MACD could keep the risk of pair’s run-up towards 50% Fibonacci retracement of December 13-23 run-up, at 1.3212, on the break of 1.3110 trend line resistance.

If at all bulls manage to hold the reins past-1.3212, 61.8% Fibonacci retracement and December 16 high, near 1.3285 and 1.3425 respectively, could lure the bulls.

Meanwhile, 23.6% Fibonacci retracement level of 1.3050 and a six-week-old rising trend line at 1.2980 will keep the pair’s short-term declines limited.

Though, a sustained break of 1.2980 might note refrain from calling 1.2900 back to the charts.

GBP/USD four-hour chart

Trend: Pullback expected

 

United Kingdom GfK Consumer Confidence in line with expectations (-9) in January

United Kingdom GfK Consumer Confidence in line with expectations (-9) in January
Read more Previous

Economics and markets outlook February 2020 – Westpac

With January 2020 on the verge of completion, analysts at Westpac came out with the report marking the key events and global economic there for the up
Read more Next
Start livechat