- GBP/USD rises on US Dollar weakness and surpasses the 200 DMA.
- If buyers recapture 1.2600, a test of 1.2700 is expected in the near term.
- If the pair falls below 1.2500, a drop towards 1.2445 and 1.2299 should be expected.
The British Pound gains ground against the US Dollar and surpasses the 200-day moving average (DMA) of 1.2541 in early trading of the North American session. At the time of writing, the GBP/USD pair is trading at 1.2566, up 0.36%.
GBP/USD Price Analysis: Technical Outlook
Currently the GBP/USD pair is uncertain and shows a neutral bias. It is unable to decisively continue its uptrend and surpass the May 3 high at 1.2634, the last cycle high. Once broken, this could exacerbate a rally towards the April 9 high at 1.2709 before challenging the psychological figure of 1.2800.
On the other hand, a bearish resumption is most likely once sellers intervene and penetrate below the 200 and 1.2500 DMA. If these two levels are broken, the next support lies at 1.2445, the May 9 low, followed by the April 22 low at 1.2299.
GBP/USD Price Action – Daily Chart
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
